UBS CEO Sergio Ermotti earned 14.4 million Swiss francs ($15.9 million) in 2023 after his surprise return at the helm of the Swiss banking giant, following its takeover of stricken rival Credit Suisse. The bank announced in late March that Ermotti would return for a second spell as CEO, replacing Ralph Hamers from April 5 last year, as UBS undertook the mammoth task of integrating Credit Suisse’s business. Ermotti’s previous tenure ran from 2011 to 2020. In total, the bank’s executive board picked up a 140.3 million Swiss franc pay package in 2023, a significant increase from the previous year’s 106.9 million francs, with bonuses paid to employees at the new combined bank totaling $4.5 billion, a 14% reduction compared to the previous year.
Hamers earned 12.6 million Swiss francs in 2022 during his last full year as CEO, according to UBS’ annual report published on Thursday. The figures total base and variable compensation. Bonuses were paid to employees at the new combined bank totaling $4.5 billion, the majority of which was paid in cash. This marked a reduction compared with the previous year’s pool of $5.3 billion for the combined entities, as UBS looks to cut costs as part of its integration of Credit Suisse. The bank last month reported a second consecutive quarterly loss on the back of integration costs, but continued to deliver strong underlying operating profits. UBS shares have gained more than 52% since Ermotti took the reins on April 5, 2023.
UBS CEO Sergio Ermotti earned 14.4 million Swiss francs ($15.9 million) in 2023 after returning as the head of the Swiss banking giant following its takeover of Credit Suisse. Ermotti was announced to take over from Ralph Hamers in late March, marking his second term as CEO after serving from 2011 to 2020. The executive board of UBS received a total pay package of 140.3 million Swiss francs in 2023, a significant increase from the previous year. Employee bonuses at the combined bank totaled $4.5 billion, predominantly paid in cash, representing a 14% reduction compared to the previous year’s total.
Ralph Hamers, the former CEO of UBS, earned 12.6 million Swiss francs in 2022, with his compensation consisting of base and variable pay components. Bonuses paid to employees at the new combined bank reached $4.5 billion in total, with a majority being distributed in cash. The reduction in bonus payouts compared to the previous year’s total of $5.3 billion reflects UBS’s efforts to streamline costs during the integration of Credit Suisse. Despite reporting a second consecutive quarterly loss due to integration expenses, the bank maintained strong underlying operating profits. Since Ermotti’s return in April 2023, UBS shares have risen by over 52%.
Overall, UBS CEO Sergio Ermotti earned 14.4 million Swiss francs in 2023 following his surprise return to lead the Swiss banking giant after the acquisition of Credit Suisse. Ermotti’s second term as CEO began in April, replacing Ralph Hamers, and the bank’s executive board received a total pay package of 140.3 million Swiss francs for the year. Bonuses paid to employees at the combined bank amounted to $4.5 billion, with a higher proportion given in cash. This total represented a 14% reduction from the previous year’s bonus pool, as UBS focused on cost-cutting measures during the integration process.
In contrast, former CEO Ralph Hamers earned 12.6 million Swiss francs in 2022, with a compensation structure that included base and variable components. Employee bonuses at the new combined bank totaled $4.5 billion, mostly distributed in cash, showcasing a decrease from the previous year’s total. Despite reporting a quarterly loss due to integration expenses, UBS maintained strong underlying operating profits. Since Ermotti resumed leadership in April 2023, UBS shares have increased by more than 52%, reflecting investor confidence in the bank’s direction under his leadership.
