Societe Generale will seek shareholder permission to pay bonuses amounting to twice bankers’ salaries after the European Union imposed caps on variable compensation.
Bloomberg reports that the bank will seek a two-thirds majority at its May 20th annual shareholders meeting, according to a motion published on its website Monday.
The EU agreed last year to restrict bonuses to prevent a recurrence of risky behaviour blamed for triggering the 2008 financial crisis.
Under the EU rules, bankers who meet certain criteria can’t receive bonuses that exceed their annual fixed pay. Banks can seek investor approval to double the cap.
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SocGen to Ask Shareholders to Allow Bonuses of Double Fixed Pay
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