CANBERRA: The boss of the nation’s largest bank, the Commonwealth Bank of Australia’s Ian Narev, was paid $8.32 million in the 2015 financial year, including a $3.18 million cash bonus as the board rewarded him for the bank’s technology performance and high levels of staff and customer satisfaction.
His pay packet was up 5 per cent on his $7.9 million in 2014, matching the increase in CBA’s cash profit for the year.
The bank’s annual report released on Monday, said Mr Narev, who last week presented the bank’s record $9.14 billion full-year cash profit, received fixed pay of $2.65 million; the cash bonus ($1.59 million of which is paid next month, with the other half deferred to next July); $2.3 million in long-term equity rewards and about $200,000 in incidental payments..
CBA senior executives are paid short-term bonus based on the board’s assessment of customer focus (which the board said was above target in 2015); balance sheet strength (on target); productivity (on target); technology (above target); and employee engagement (above target). Long-term rewards are linked to total shareholder returns and customer satisfaction numbers.
Mr Narev’s total remuneration actually received in 2015 was $7.97 million, which included $3.73 million in deferred cash and equity awarded in previous years but vested in 2015.
The next two-highest paid CBA executive were chief financial officer David Craig, whose total statutory remuneration in 2015 was $4.37 million (down from $4.7 million in 2014), and chief risk officer, Alden Toevs, who received $4.36 million (down from $4.9 million in 2014).
Three group executives broke the $3 million mark in 2015: the head of wealth, Annabel Spring ($3.27 million, including a $1.32 million bonus); head of the retail bank, Matt Comyn ($3.17 million, including a $1.24 million bonus); and head of international financial services, Robert Jesudason ($3.09 million, including a $1.15 million bonus). The head of institutional banking and markets, Kelly Bayer Rosmarin, received $2.95 million, including a $1.22 million bonus.
