Morgan Stanley chairman's salary increased to $2m

2 June 2010

Steve Mack, chairman of Morgan Stanley, is to see his annual salary raised to $2 million from today (June 1st).

The 150 per cent increase to the banking head’s wage was revealed in a filing submitted to the financial services regulator late on Friday afternoon.

Mr Mack received a base-salary of $800,000 in 2009 while he waived his right to a bonus during the past three years.

He was both chief executive officer and chairman of the financial institution until January 1st of this year when he handed over responsibility for the former role to James Gorman.

In the filing, which was quoted by Bloomberg, the Morgan Stanley claimed that the increase was “in line with his new role and responsibilities as executive chairman of the company’s board of directors” while it also showed how the firm is trying to distance itself “from a compensation program focused largely on annual incentive awards”.

Back in 2006, the senior executive received a total of $41 million in compensation and salary.

Meanwhile, an unnamed source has revealed that Morgan Stanley is planning to take on more staff within its capital markets
department.

Up to 150 private bankers and 35 professionals are expected to be employed by the financial institution.

By Jim Ottewill

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