The New York Post reports that Deutsche Bank last week hosted an off-site at The Grove, a luxury golf and spa resort in Hertfordshire, England, for 'about 150 of its top talent'.
And typically, anger is said to have bubbled to the surface over compensation. According to the newspaper, there are two separate issues on the pay front which are causing 'bitterness' within Deutsche. Firstly Deutsche's finest feel that they are being disadvantaged pay-wise when compared to the rest of the market (probably because CEO Josef Ackermann did promise the German government that he would exercise pay restraint for 2009).
But that's not all. It looks like the global markets crew and the M&A chaps are at odds over perceived pay disparities within the ranks. It appears that global markets traders did relatively well within Deutsche in terms of bonus payouts, and rightly so, they are said to believe, as it was their trading revenues that kept Deutsche afloat and made it possible to continue to operate throughout the financial crisis without going cap-in-hand to the German government.
The bankers, on the other hand, apparently feel that bonuses should have been spread out more evenly, and point to the fact that Deutsche's global markets businesses did make big losses during the credit crisis and that, in the exuberance that followed last year's strong performance, this has all been forgotten.
One banker told Here Is The City: 'This is typical of what goes on in most firms most of the time. Traders and bankers have a different mindset, and look at life in very different ways. The rivalry is intense, and the bankers here are clearly aggrieved as the traders are back on top (at least for the moment). It's a power thing'.