The plan applies to unspecified "key employees" starting this year. It gives Goldman the ability to take back bonuses from employees who violate company rules.
"The plan is a tool the compensation committee may use to further align incentive compensation with long-term performance," Goldman spokesman Michael DuVally said.
Goldman has been a lightning rod for public criticism of Wall Street since the financial crisis that peaked in late 2008.
The bank was among those that created mortgage-backed investments that turned out to be toxic. Goldman later bet against some of those investments and made billions when the housing market collapsed.
Goldman took $10 billion from the taxpayer bailout that Congress authorized to unclog frozen credit markets. It then awarded 953 executives bonuses worth $1 million or more for their work in 2008.
Goldman Sachs earned $5.97 billion during the first nine months of the year and put aside $13.1 billion in pay for its 35,400 employees.
Goldman employees are expected to find out in the third week of January what their bonuses will be and will most likely receive them in early February.
International Business Times, The Global Business News Leader
Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.