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Goldman Sachs’ bonuses for chief executive David Solomon and President John Waldron worth $ 80m “Repeat significant concerns” and should be rejected by bank shareholders, Glass Lewis advisory firm has recommended.
In a report published late on Friday, the representative’s adviser said the duo prices, which the bank announced in January, “further deteriorated by their structure, with grants deviating from the historical use of the company from performance -based capital prices”.
Bonuses will be paid in stock in stock and are not related to performance conditions, the firm said.
While “media titles” described a “high level of snake level” experienced in the bank, shareholders had mainly received “boiler language” for the need for salary, Glass Lewis said.
“The lack of any discovery about these elements of such a considerable price is wild and, only on this basis, would guarantee a vote against this proposal this year,” he said in the report.
Goldman gave five-year holdings to ensure that their first two leaders remain in the bank. Mimi for Waldron cemented the popular appearance among Wall Street observers that he is Solomon’s most likely successor.
Bonuses are divided into annual compensation for Solomon and Waldron, which last year reached $ 39 million and $ 38 million respectively. They also raped the latest prices paid for leaders of rivals JPMORGA and Morgan Stanley.
Within Goldman, there have been concerns for weeks that investors will reject the so -called salary statements at the Investment Bank’s annual general meeting on April 23 in Dallas, according to people familiar with the matter.
Goldman, whose leading investors include Vanguard, Blackrock and State Street, said in a statement: “Competition for our talent is harsh. The Board took action to keep our current leadership team, to maintain our firm’s moment and maintain a strong success plan.
The advisory vote, approved as part of the Dodd-Frank financial regulation reforms, is not binding. But if the shareholders voted no, it would represent a public reprimand for the bank.
In US banks, it is rare for investors to vote against compensation plans; In recent years, only Jpmorgan Chase has faced such a rebellion. The shareholders were frustrated by a special price projected to apply about $ 50 million to the executive chief Jamie Dimon in 2022. JPMORGAN then said he would not give the Special Awards in the future.
In Goldman Sachs, shareholders’ support for its executive salary prices dip to 86 percent in 2024, from 94 percent a year ago.
Glass Lewis also warned shareholders about the new interest pay plan carried for executives. The complexity of the plan makes it harder for shareholders to evaluate the salary agreements before the rewards are paid, the firm said.
