Deutsche Bank to cap bonuses again

6 February 2014

Deutsche Bank has capped the cash bonus payouts for its bankers at $405,000 for a second year in a row, according to people familiar with the bank.

The structure of the payouts will be the same as in 2012, where more pay is deferred the higher the bonus, according to the source who spoke to Reuters.

Deutsche Bank changed its pay structure for 2012 in a bid to encourage its bankers to focus on "longer-term sustainable performance".

Banks all over the world are currently under pressure to reduce the bonuses paid out to employees.

The German-based company recently announced total pay in its corporate banking and securities division was $7.1 billion in 2013, down 14.4 per cent from the previous year.

Bonuses are expected to be flat or even slightly reduced at most banks for 2013 compared to 2012, although UBS recently said it will be increasing pay for staff to narrow the gap with its rivals.

By Claire Archer

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