In 2008, Citigroup, Merrill Lynch, and seven other U.S. banks paid out more than $32 billion in bonuses, while receiving $175 billion in taxpayer funds. Needless to say, the public was outraged, and (not surprisingly) the scrutiny of banking bonuses continues today. In some instances, shareholders themselves have taken action. In 2012, for example, Citigroup shareholders voted against then-CEO Vikram Pandit's receiving a $15 million pay package for the fiscal year prior, when shares fell by 44%.
At a more macro level, legislators have also attempted to rein in the industry. In 2010, the U.S. introduced so-called "say on pay" provisions to the Dodd-Frank Wall Street Reform and Consumer Protection Act, allowing shareholders a non-binding vote on executive compensation at least every three years. This year the European Union also pushed through legislation that caps bank bonuses at two times a banker's salary.
Despite these changes, banking bonuses continue to run into the millions. However, when compared with leaders in private equity and hedge funds, commercial banking CEOs might be getting a bit of a raw deal. In this infographic, Firmex Data Rooms takes a closer look at the 2013 paychecks for banking CEOs, and where they fit in the grand scheme of things.
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