{
}
UBS faces a challenging situation as it navigates shareholder expectations and Swiss government demands for increased capital to prepare for potential crises. The bank's recent moves, including a modest salary for its CEO and proposals to limit investment banking growth, reflect its attempt to balance these pressures while avoiding perceptions of blackmail. As the federal government sets the rules, UBS must engage in the political process to influence regulations that could impact its competitiveness.
The Swiss National Council is pushing for stricter regulations on systemically important banks like UBS following the Credit Suisse collapse, advocating for increased capital requirements and enhanced FINMA oversight. Experts argue that while existing regulations are robust, effective management and supervision are crucial to prevent future banking crises. Concerns about potential relocations of UBS's headquarters due to regulatory pressures have also been raised, highlighting the delicate balance between oversight and competitiveness.
The Council of States narrowly approved a proposal for a salary cap of five million francs for bankers, driven by concerns over excessive remuneration. However, skepticism remains among conservative parties, with the FDP and SVP likely to oppose it in the National Council. While the SP fully supports the cap, other parties are calling for more nuanced solutions to address high-risk banking practices.
UBS CEO Sergio Ermotti earned CHF 14.9 million in 2024, a figure deemed high in absolute terms but moderate compared to U.S. counterparts. The shrinking job market for bankers, exacerbated by the Credit Suisse merger and AI advancements, raises concerns about the future of banking careers. Experts suggest Ermotti's lower salary this year may reflect political considerations amid calls for capping bank executive pay.
UBS CEO Sergio Ermotti's salary of CHF 14.9 million has sparked public outrage and calls for a salary cap for bankers, with critics arguing that such compensation is excessive. While Ermotti's pay includes a fixed salary of CHF 2.8 million and performance bonuses, some politicians advocate for limits to ensure moderation in executive compensation. The National Council is set to discuss a proposed cap on bankers' salaries, reflecting growing concerns over income inequality in the financial sector.
Pierre-Yves Maillard, head of the Swiss Trade Union Confederation, criticized UBS CEO Sergio Ermotti's CHF 14.93 million salary, calling it excessive and disconnected from the realities faced by most people. While some parliamentarians support capping salaries in the banking sector, others argue against intervention in the free market, emphasizing the need for shareholder influence on compensation policies. The Council of States has proposed stricter remuneration rules for systemically important banks, with a motion to limit salaries to CHF 3-5 million awaiting consideration by the National Council.
UBS CEO Sergio Ermotti earned 14.9 million francs in 2024, maintaining a similar salary to the previous year despite only nine months in the role. His compensation, which includes a fixed salary of 2.8 million and a variable portion of 12.1 million, has sparked outrage among some Swiss parliamentarians, who question the justification for such high earnings, especially given UBS's state support. The Council of States is considering a cap on banking sector salaries, while UBS defends its pay structure as aligned with performance and risk management.
Parliamentarians have expressed shock at UBS CEO Ermotti's salary of CHF 14.9 million, with calls for limits on executive pay, particularly in light of UBS's state-backed status. Critics argue such high compensation is unjustifiable, while some defend it as performance-related and necessary for attracting talent. A motion to cap banking sector salaries at 3-5 million francs is set for discussion in the National Council.
Salaries for CEOs of major Swiss companies are on the rise, with UBS CEO Sergio Ermotti earning 14.9 million francs and Novartis CEO Vasant Narasimhan at 19.1 million francs. This trend has sparked political debate, including a proposed salary cap for bankers, which faces opposition from the Bankers Association. Shareholders, particularly large asset managers, prioritize company performance over concerns about executive pay.
Sergio Ermotti, CEO of UBS, earned CHF 14.9 million in 2024, slightly down from CHF 14.4 million in 2023, reflecting a daily income of around CHF 57,000. His compensation includes a fixed salary of CHF 2.8 million and variable pay of CHF 12.1 million. The Executive Committee's total remuneration nears CHF 143.6 million, amid ongoing debates in Parliament regarding a proposed salary cap for bankers.
Jakob Stark
People
The information provided herein is generated by experimental artificial intelligence and is for informational purposes only.
UBS faces pressure amid capital requirements and political challenges in Switzerland
07:06 29.03.2025
Swiss banking reforms aim to strengthen supervision and prevent future crises
Swiss Franc
United States Dollar
PostFinance Fonds 3
Raiffeisenfonds-Wachstum T
Credit Suisse Strategic Income I
CHE
Peter Sellers
Carlo Lombardini
Sergio Ermotti
Jakob Stark
Roman Studer
Show more
21:15 19.03.2025
banking sector salary cap proposal faces strong political opposition
Swiss Franc
Credit Suisse Strategic Income I
CHE
Elisa Jeanneret
Thomas Aeschi
Marc Chesney
Simone Rubin
Franziska Ryser
Jakob Stark
Show more
16:43 19.03.2025
ubs ceo salary raises questions amid shrinking banking job market
Swiss Franc
Novartis AG
Sunrise Resources PLC
Credit Suisse Strategic Income I
USA
CHE
Sergio Ermotti
Sacha Cahn
Jakob Stark
Peter V. Kunz
Show more
12:02 18.03.2025
controversy surrounds UBS CEO Sergio Ermotti's 15 million franc salary
Swiss Franc
Credit Suisse Strategic Income I
CHE
Franziska Ryser
Antoinette Weibel
Thierry Burkart
Sergio Ermotti
Pierre-Yves Maillard
Jakob Stark
Show more
20:16 17.03.2025
lawmakers call for limits on excessive bank executive salaries
Swiss Franc
Credit Suisse Strategic Income I
CHE
Beat Walti
Thomas Stettler
Sergio Ermotti
Pierre-Yves Maillard
Gerhard Andrey
Jakob Stark
Show more
19:51 17.03.2025
ubs ceo sergio ermotti earns 14.9 million amid salary cap discussions
Swiss Franc
Credit Suisse Strategic Income I
CHE
Beat Walti
Colm Kelleher
Thomas Stettler
Sergio Ermotti
Pierre-Yves Maillard
Gerhard Andrey
Jakob Stark
Show more
18:08 17.03.2025
parliamentarians express outrage over high salary of UBS CEO Ermotti
Swiss Franc
Credit Suisse Strategic Income I
CHE
Beat Walti
Thomas Stettler
Pierre-Yves Maillard
Gerhard Andrey
Jakob Stark
Show more
17:15 17.03.2025
rising executive salaries spark debate in swiss corporate governance
Swiss Franc
Novartis AG
Hoffmann-La Roche AG
SGS SA
NOR
CHE
David Layton
Thomas Aeschi
Marc Chesney
Thomas Schinecker
Géraldine Picaud
Sergio Ermotti
Jakob Stark
Vincent Kaufmann
Vas Narasimhan
Show more
15:54 17.03.2025
ubs ceo sergio ermotti earns 14.9 million francs in 2024
13:07 17.03.2025
Trending
Subcategory
Stock Market Updates
Corporate News
Industry Trends
Finance Mergers & Acquisitions
Banking Regulations
Global Financial Events
Market Analysis and Predictions
Financial Scams and Security
Retail and Consumer Goods
Hedge Funds & Private Equity
Government Policies
Startups & Entrepreneurship
CEO Changes
Domestic Politics
Industry Mergers & Acquisitions
Workplace Trends
Supply Chain Management
Economic Sanctions
Consumer Protection Regulations
Energy Sector Developments
Countries:
Companies:
JPMorgan Chase & Co.
Tesla, Inc.
Wells Fargo & Company
Bank of America Corporation
The Goldman Sachs Group, Inc.
Morgan Stanley
Citigroup Inc.
U.S. Bancorp
SpaceXCoin USD
Apple Inc.
Barclays PLC
lululemon athletica inc.
Citi Trends, Inc.
UBS Group AG
Credit Suisse Strategic Income I
Deutsche Bank Aktiengesellschaft
Royal Bank of Canada
Charles Schwab Investment Management Inc.
State Street Corporation
Northern Trust Corporation
Currencies:
United States Dollar
Euro
Swiss Franc
Chinese Yuan
Indian Rupee
British Pound Sterling
Australian Dollar
Japanese Yen
United Arab Emirates Dirham
Saudi Riyal
Chilean Peso
Russian Ruble
Canadian Dollar
Singapore Dollar
Indonesian Rupiah
People: