① According to statistics, the six major state-owned banks each accounted for half of the increase and decrease in executive pay. Both China Merchants Bank and Ping An Bank saw their executive pay drop of more than 2.9 million last year. ② Among the six major banks, the Bank of China, the Agricultural Bank, and the Bank of Communications saw an overall increase in executive remuneration, but the magnitude was not significant. ③ According to a survey related to the Banking Industry Association, 80.6% of bankers believe that the per executive remuneration of their bank will be basically the same or decrease compared to the previous year.
Financial Services Association, April 2 (Reporter Peng Kefeng) Has the remuneration of major listed bank executives increased or decreased in the past year? One or two of the recently disclosed annual reports can already be seen.
This morning, a reporter from the Financial Services Association carried out relevant sorting based on the currently published annual report and the Oriental Wealth Choice terminal. According to statistics, the six major state-owned banks each accounted for half of the increase and decrease in executive pay. Meanwhile, the two stock banks China Merchants Bank and Ping An Bank both offered overall salary cuts to executives last year by more than 2.9 million, exceeding that of major state-owned banks.
Total remuneration of Bank of China, Agricultural Bank, and Bank of Communications executives in the six major banks increased
The six major state-owned banks are unquestionably viewed as the ceiling of the banking industry. So, what is the overall salary of the top six bank executives? According to the data, the overall remuneration of executives of the Bank of China, the Agricultural Bank, and the Bank of Communications increased, but the magnitude was not significant.
According to the “total annual salary of executives” statistics of listed banks on the Oriental Fortune Choice terminal, in 2023, the total remuneration of Bank of China executives was 13.9755 million yuan. At the end of 2022, this figure was 13.544,700 yuan. It can be seen that the Bank of China executive team received an overall “salary increase”, but the increase was not significant, only over 430,000 yuan.
According to Oriental Wealth Choice data, Agricultural Bank's total executive remuneration in 2023 was 10.5873 million yuan, compared to 7.4074 million yuan at the end of 2022. The salary of Agricultural Bank executives increased significantly. Compared with the previous year, there was a sharp increase of more than 3.45 million yuan.
According to Oriental Wealth Choice data, Bank of Communications's total executive remuneration in 2023 was 19.0626 million yuan, compared to 173.11,000 yuan at the end of 2022. Bank of Communications executives also received “salary increases,” and overall pay increased by more than 1.75 million yuan.
ICBC, CCB, and Postbank executive teams cut salaries last year
A Financial Services Association reporter noticed that according to Oriental Wealth Choice data, among the six major state-owned banks, the ratio of salary increases and salary cuts remained the same, and the overall remuneration of the three major banks, ICBC, and the Postbank, declined to varying degrees last year.
According to Oriental Wealth Choice data, in 2023, the annual salary of Cosmic Bank of Commerce and Industry Bank executives was 12.258,500 yuan. At the end of 2022, this figure was 14.294,200 yuan. By simple calculation, the overall salary of ICBC executives dropped by about 2.04 million last year.
Furthermore, in 2023, the annual salary of CCB executives was 17.196 million yuan, compared to 17.3 million yuan at the end of 2022. By simple calculation, the overall remuneration of CCB executives dropped by about 110,000 last year.
In 2023, the annual salary of Postbank executives was 8.4931 million yuan. At the end of 2022, this figure was 1005.1 yuan. By simple calculation, the overall salary of Postbank executives dropped by about 1.56 million last year.
Executives of both stock banks saw salary cuts, and China Merchants Bank saw the biggest drop of more than 6 million
Judging from the stock bank situation, China Merchants Bank and Ping An Bank, the annual remuneration of two representative bank executives also declined. Among them, China Merchants Bank saw the biggest drop.
According to Oriental Wealth Choice data, the overall salary of China Merchants Bank executives last year was 37.2284 million yuan, compared to 589.319 million yuan at the end of 2022. However, considering that Dongcai has included the “remaining portion of the 2022 pre-tax remuneration” (amount of about 15.47 million yuan) in the CMB 2022 supplementary announcement, the figure for CMB at the end of 2022 should be 43.46 million yuan under a year-on-year perspective.
By simple calculation, under a year-on-year perspective, CMB cut the overall salary of executives by about 6.32 million yuan last year.
Ping An Bank's situation is similar to China Merchants Bank. According to Oriental Wealth Choice data, Ping An Bank's executive salary last year was 28.182,900 yuan, compared to 486.528 million yuan at the end of 2022. However, on a year-on-year basis, after deducting the “remainder of 2022 pre-tax remuneration” (amount of about 17.57 million yuan) in Ping An Bank's 2022 supplementary announcement, this figure should be 31.08 million yuan at the end of 2022. By simple calculation, Ping An Bank cut the overall salary of senior executives last year by about 2.9 million yuan on a year-on-year basis.
The report shows that the remuneration of over 80% of bank executives remained flat or declined last year
According to Oriental Wealth Choice data, among the eight banks mentioned above, if you simply calculate the total salary increase and reduction in remuneration, then the number of banks that cut the overall salary of executives exceeds that of the banks that raised wages, and the overall salary reduction of the eight banks last year was also higher than the increase in salary. Overall, it can be seen that banking executives' wallets also shrunk last year.
In fact, this judgment is also based on industry surveys. On March 28, the China Banking Association published the “Survey Report on Chinese Bankers (2023)” on its website. In terms of the banker community, the survey results showed that 80.6% of bankers believed that the average salary per executive of their bank would be basically the same or decrease compared to the previous year. Among them, 50.3% of bankers thought it was basically flat, while 26.7% and 3.6% of bankers thought it was a slight decline and a sharp decline, respectively.
In response, a brokerage banking analyst told the Financial Federation reporter that if used for yearly comparison of executive remuneration data in the annual reports of major listed banks, it is not accurate, because every year some executives leave their jobs or new executives join, and their salary calculations may not be based on a complete year. Overall, however, it will still have great reference value. Furthermore, in the context of strong supervision of the financial industry in recent years, especially against the backdrop of the central government's repeated proposals to abolish the “financial elite theory” last year, the remuneration of listed bank executives will steadily decline or become a major trend in the future.