When it comes to compensation, British bank Barclays gets mixed reviews. Its CEO, Antony Jenkins, has given up his bonus because of the bank’s weak performance and legal issues. At the same time, the Barclays is laying off some employees while boosting compensation for others, and some critics of Wall Street pay hate that.
It’s a mixed bag, and now here’s something else to consider.
Barclays will now start docking financial advisers in its Wealth & Investment Management division for bad behaviour, says the Wall Street Journal.
Here’s how it will work (from WSJ):
Barclays advisers will receive about half of their pay in the form of a monthly payment; the other half will be paid out every three months, according to people familiar with the new arrangement. While both payments will be based on a production formula similar to that at other firms, the quarterly payment also takes into account values-based criteria that include professional conduct and customer complaints. Poor performance in these areas could lead to a reduced payout.
The word is that Barclays bankers have asked around to see if they can leave the bank and head elsewhere, but if you know anything about Wall Street right now, you know that moving is really tough. Wealth management is one of the better performing sectors in the industry right now too, so those jobs are hard to come by.