Morgan Stanley boosted CEO James Gorman’s pay by a third last year — the biggest raise reported so far on Wall Street.
Gorman’s compensation jumped to $US16 million last year, according to the bank’s annual proxy statement — up from $US12 million the year before — plus an additional $US6.5 million in long-term incentive awards based on performance targets.
The total $US22.5 million pay package is up from 2013’s total of $US18 million.
Here’s the board’s compensation committee on Gorman’s performance:
Our strong business results, strategic execution and shareholder returns are reflected in the 2014 pay decisions for the CEO and other NEOs. 2014 CEO compensation was based on the CMDS Committee’s assessment of Morgan Stanley’s performance and shareholder returns as strong, with room for continued progress, and Mr. Gorman’s individual performance as exceeding expectations.
Morgan Stanley CFO Ruth Porat, who recently announced she would be moving to Google in May, was awarded $US13 million last year, up from $US12 million the year before.
Colm Kelleher and Greg Fleming, who run the investment banking and trading divisions and the wealth and asset management division, respectively, received $US16 million each, up from $US14.5 million the year before.
Not every bank has reported 2014 executive compensation yet, but Goldman Sachs CEO Lloyd Blankfein reportedly received $US24 million (not including a long-term incentive award), Bloomberg reported — up only slightly from the previous year’s $US23 million compensation.