- UBS gave CEO Ralph Hamers an 11% pay raise in 2022, bringing his salary to $13 million.
- But the Swiss bank cut the bonus pool for its employees by 10% to $3.3 billion.
- UBS’s full-year revenue rose to 2022 even amid a challenging deal-making environment.
Swiss bank UBS has given its CEO an 11% pay rise in 2022 – even as it cut the bonus pool for the rest of the company by 10%.
The Zurich-based lender gave CEO Ralph Hamers 12.2 million Swiss francs, or $13 million, for 2022, according to UBS’s annual report published Monday. His salary includes a base salary of 2.5 million francs and a performance award of 9.7 million francs.
Hamers made 11 million francs in 2021, after UBS cut executive bonuses due to the collapse of Bill Hwang’s Archegos Capital Management, a family office. Archegos borrowed heavily from banks, including UBS, for its risky bets.
“Ralph Hamers successfully led UBS through a challenging year and delivered good financial results despite significant headwinds due to geopolitical and macroeconomic developments,” UBS said in its annual report. It added that the company’s performance last year was in line with targets.
For other bank employees, however, the news is not so happy because the total bonus pool has decreased by 10% to $ 3.3 billion in 2022 amid a challenging year for deal making. UBS employed more than 71,000 full-time workers as of December 31, 2021.
UBS reported $7.6 billion in full-year net income for 2022 – beating analysts’ expectations of $7.3 billion, per Refinitiv. However, revenues at UBS’s global banking division – which advises on mergers and acquisitions and IPOs – will almost halve to $1.6 billion in 2022.
UBS said in its annual report that it expects 2023 to be “a year of changes” as investors navigate markets and economies against “a complex geopolitical backdrop.” The bank highlighted the war in Ukraine and US-China tensions as two areas of concern.
UBS shares closed 0.3% higher at 20.74 Swiss francs each on Monday. They are up 19% so far this year.