HSBC wants its investors to pony up $22 million for its CEO, Stuart Gulliver, according to Bloomberg.
HSBC’s compensation committee will propose to shareholders this week that their chief gets a based salary of $2 million, and a bonus of more than $7 million.
But that’s not all.
HSBC is also keen to give Gulliver a long-term incentive payment — in shares — of about $14 million that he would have to retain until he left the firm, sources told Bloomberg.
If shareholders agree to back the package, Gulliver will have to take ex-Goldman Sachs president, John Thorton. He heads HSBC’s compensation pane (he used to do the same at Goldman).
According to Bloomberg, Thorton,
is also asking investors to back a plan that would change the terms of Gulliver’s long- term incentive plan to include a range of non-financial targets such as reputation, brand and compliance…
His predecessors’ targets were solely financial, and included return on equity and cost-efficiency ratios. The change is likely to meet opposition from some HSBC investors.