Barclays awards Jenkins less pay

Bloomberg

Antony Jenkins, chief executive officer of Barclays Plc, poses for a photograph following the company's Strategic Review at a news conference in London, U.K., on Tuesday, Feb. 12, 2013. Barclays Plc will cut 3,700 jobs to reduce annual costs by 1.7 billion pounds ($2.6 billion) as Jenkins revamps the lender following its fine for interest-rate manipulation. Photographer: Chris Ratcliffe/Bloomberg *** Local Caption *** Antony Jenkins

Howard Mustoe London

Barclays awarded chief executive Antony Jenkins £2.3 million (R31 million) last year and said fewer staff earned a million pounds than in 2011 as the British bank responds to public pressure and cuts costs.

Jenkins earned 63 percent less in salary and long-term bonuses than his ousted predecessor, Robert Diamond, did in 2011, though he was chief executive for only the final four months of 2012.

Diamond, who received £6.3m in salary and long-term bonuses in 2011, was branded the “unacceptable face of banking” by then-Business Secretary Peter Mandelson in 2010 over his compensation.

Banker pay has remained an issue for investors and politicians. The EU announced a cap on bankers’ bonuses last week, a plan resisted by the British government.

Including pension payments and other benefits, Jenkins got £2.6m in 2012, compared with Diamond’s £13.2m in 2011. Barclays granted Diamond £5.75m in so-called equalisation payments to the US tax authorities that year, relating to money he owed after his relocation to Britain.

Jenkins took on the top job last August after receiving a £700 000 salary in his previous role as head of the consumer bank. He is cutting costs and eliminating jobs to return the lender to profit, while trying to avoid regulatory mis-steps such as the £290m fine for rigging the London interbank offered rate that prompted Diamond to resign.

It awarded 428 workers more than £1m in 2012, down from 473 in 2011. More than half of the 139 200 employees were paid £25 000 or less.

Britain’s Trades Union Conference said Barclays’ pay remained “obscene”.

“Barclays is acting as if the financial crisis never happened,” the labour group said.

“The EU is absolutely right to push ahead with its bonus cap.” – Bloomberg