• Germany edition
 
Commerzbank slashes employee bonuses
Photo: DPA

Commerzbank slashes employee bonuses

Published: 15 Feb 2013 14:23 GMT+01:00
Updated: 15 Feb 2013 14:23 GMT+01:00

"As a consequence of the unsatisfactory net profit, variable remuneration as a whole for 2012 will be 17.2 percent lower than in the previous year," Commerzbank said in a statement.

Bonuses were cut by around 20 percent in the investment banking division alone. The move - which affects all employees including the executive board - helped bring down personnel costs last year by 5.3 percent to €3.96 billion ($5.3 billion) and came after a similar bonus cut of 12.1 percent in 2011.

"We are following a clear principle: the greater the responsibility, the lower the variable remuneration by comparison," Commerzbank said. Indeed, CEO Blessing had already informed the bank's supervisory board in December that he would forego "all his claims from variable remuneration for 2012," it added.

Germany's second-biggest lender confirmed its disappointing 2012 results, already released earlier this month. Net profit came out at only €6 million for the whole year compared with €638 million a year previously, after heavy write downs pushed it into the red in the fourth quarter.

However, underlying earnings, as measured by operating profit, increased to €1.2 billion in 2012 from €507 million. Last month, Commerzbank said it would axe 4,000-6,000 jobs - more than one in 10 of its workforce - over the coming three years as it tots up the toll from the financial and sovereign debt crisis.

Commerzbank shares were the biggest gainers on the Frankfurt stock exchange on Friday, adding 3.32 percent in a steady market.

AFP/kkf

The Local (news@thelocal.de)

Your comments about this article

Today's headlines
German Muslims rally against extremism
Muslims pray in Kreuzberg, Berlin, on Friday outside a mosque which was damaged in an arson attack. Photo: DPA

German Muslims rally against extremism

Muslims across Germany held a day of prayers and rallies on Friday to condemn both Islamic extremism and a backlash against their faith that has seen arson attacks on mosques. READ  

German military flight to Iraq starts with a hiccup
The trainers on the air strip in Hohn, Schleswig-Holstein. Photo: Bundeswehr.

German military flight to Iraq starts with a hiccup

Military trainers flew to northern Iraq from Germany on Friday, ahead of a huge delivery of weapons from the German military, but things didn’t initially go as planned. READ  

Munich gets four Euro 2020 matches
Photo: DPA

Munich gets four Euro 2020 matches

UPDATE: Munich will play host to four Euro 2020 games, European football’s governing body Uefa announced in Geneva on Friday, but London was the real winner. READ  

Driver, 18, ploughs into school pupils
The scene by the bus stop outside the school in Diepholz. Photo: DPA

Driver, 18, ploughs into school pupils

An 18-year-old drove into a group of students outside a school in western Germany on Friday morning, injuring several. READ  

View from Germany
'In a globalized world we don't need more loners'
'No' campaign supporters celebrate in Edinburgh after the results were announced. Photo: DPA

'In a globalized world we don't need more loners'

UPDATE: The German government welcomed the result of the Scottish independence referendum on Friday, with Foreign Minister Frank-Walter Steinmeier calling it the "right decision". READ  

Oktoberfest 2014
Your guide to Munich Oktoberfest's beer
Photo: DPA

Your guide to Munich Oktoberfest's beer

The Local's Oktoberfest guide chugs some of the Bavarian tipple fueling this whole shindig. READ  

Berlin squat ripped apart by fire
Kreuzberg's Cuvrybrache. Photo: DPA

Berlin squat ripped apart by fire

UPDATE: One of Berlin’s biggest squats was torn apart by a fire on Thursday night following an argument. READ  

Sterilized woman gets pregnant, sues doctors
Photo: DPA

Sterilized woman gets pregnant, sues doctors

A woman who gave birth after becoming sterilized has tried and failed to sue the hospital which carried out the operation. READ  

Thousands queue for Apple's iPhone 6
Queues outside the Apple Store in Dresden. Photo: DPA

Thousands queue for Apple's iPhone 6

UPDATE: Apple’s new iPhone 6 went on sale on Friday morning, leading to long queues outside stores across Germany. Berlin's Apple Store sold out of the iPhone 6 Plus in an hour. READ  

Blitzmarathon
Pupils catch teacher and mum speeding
A camouflaged speed camera in Schleswig-Holstein on Thursday. Photo: DPA

Pupils catch teacher and mum speeding

UPDATE: A nationwide operation against speeding drivers ended on Friday morning, with police hailing their "Blitzmarathon" as a success. One child in Düsseldorf caught his own mother driving too fast, while another driver hit 238 km/h. READ  

RECEIVE OUR NEWSLETTER AND ALERTS
Photo: DPA
Culture
Your guide to Munich Oktoberfest's tents
Photo: DPA
Hamburg
Drunk teachers ruin school trip to Hamburg
Marks & Spencer
Sponsored Article
Fashion Ladies of the Local: Win a New Autumn Look
Photo: DPA
Gallery
Oktoberfest 2014: The best and worst in dirndl fashion
Photo: Shutterstock
Gallery
Ten German words you'll never want to hear again
Photo: DPA
Education
German universities tumble in global rankings
Photo: Shutterstock
Business & Money
The three types of firms hiring foreigners
Photo: DPA
Berlin
Frisky couple shock Berlin commuters
Sponsored Article
Bilingual education from nursery to graduation at Phorms
Photo: DPA
Business & Money
JobTalk: All you need to know about working in Germany
National
Share news tips with The Local Germany
Latest news from The Local in Austria

More news from Austria at thelocal.at

Latest news from The Local in Switzerland

More news from Switzerland at thelocal.ch

Latest news from The Local in Denmark

More news from Denmark at thelocal.dk

Latest news from The Local in Spain

More news from Spain at thelocal.es

Latest news from The Local in France

More news from France at thelocal.fr

Latest news from The Local in Italy

More news from Italy at thelocal.it

Latest news from The Local in Norway

More news from Norway at thelocal.no

Latest news from The Local in Sweden

More news from Sweden at thelocal.se

3,367
jobs available
Toytown Germany
Germany's English-speaking crowd