Wall Street Execs Take Pay Cut: Morgan Stanley, JP Morgan, Goldman Sachs
JPMorgan (NYSE:JPM) managers got bad news: pay cut. According to Bloomberg, stock options were cut from $71.4 million in stock (for 14 executives in 2010) to $60.9 million for some 13 top executives for 2011. The January 18 award date puts the stock value around $4.7 million each, down about a half million from last year.
Other firms are also feeling the pinch, if you can call it that. Morgan Stanley (NYSE:MS) reportedly cut executives pay 20 to 30 percent and Goldman Sachs Group (NYSE:GS) cut pay 21 percent after both companies have dropped 40 percent in value.
JP Morgan reduced Chief Executive Officer Jamie Dimon’s stock and his operating committee was reduced by the departure of Jay Mandelbaum and Heider Miller, and Charlie Scharf moved to the private-equity unit. The two replacements rounding out the the new committee are Doug Petno, commercial banking, and John Hogan, chief risk officer.
The board increased restricted shares for the committee from 1.64 million last year to 1.71 million and increased options from 1.62 million to 2.05 million shares.