The scandal hit US bank Wells Fargo has awarded new chief executive Tim Sloan $12.8m for his work last year, up 17 per cent from a year ago.
The bank said the pay deal reflected Mr Sloan’s promotion to president and chief operating officer – before he was promoted, again, to chief executive at the height of the crisis over sales practices last October. It has yet to disclose how much he is being paid as CEO.
Wells cancelled Mr Sloan’s annual incentive award – along with seven other executives – as part of the bank’s response to the scandal over fake accounts. The filing on Wednesday also showed the new chief executive took a $5.6m hit to pay outs on performance-based long term share awards.
Nevertheless, he was still awarded $10.5m in long term incentives for 2016 on top of a $2.33m salary. His total $12.8m pay package compares with $11m a year ago.
Wells has been fighting to restore its reputation after it emerged that thousands of employees set up fake accounts, in some cases forging customer signatures, in an effort to meet sales targets.