FRANKFURT (Reuters) - Deutsche Bank’s co-chief executive designate Anshu Jain saw his total pay drop 18 percent last year to almost 10 million euros, less than some of his peers and top earners in the car industry.
Jain earned 9.77 million euros in 2011, when the lender missed its ambitious full-year profit targets, compared with 11.9 million a year earlier, Germany’s flagship bank said in its annual report on Tuesday.
Jain’s boss Josef Ackermann, who will step down in May, got 9.35 million euros after 8.98 million euros in 2010.
The awards come as banks in Europe are under fire for failing to show pay restraint for executives and top staff when thousands of jobs are being cut and wages slashed or frozen after a recession many blame lenders for.
Earlier this month, British bank Barclays said CEO Bob Diamond took home pay, shares and benefits worth 17 million pounds.
The pay figures at Deutsche Bank include performance-related deferred cash incentives, which are only at risk if the bank posts an annual loss.
Overall, the complete management board’s pay dropped about 19 percent to 26.4 million euros, excluding the incentives.
That fall reflects a slowdown in profitability for the financial services sector, which is burdened by new regulation and a weak European economy.
Deutsche Bank top managers’ pay lagged that of executives at German automakers, which posted bumper earnings in 2011 on the back of demand for cars in Asia and North America.
Volkswagen Chief Executive Martin Winterkorn’s pay nearly doubled to 17.5 million euros in fixed salary, bonuses and profit incentives last year as Europe’s biggest car maker posted record profits and deliveries.
Winterkorn took home more than any other chief executive among Germany’s top 30 companies listed on the DAX index.
Deutsche Bank said in October that its full-year target of 10 billion euros profit before tax from core businesses is no longer within reach as the European debt crisis takes its toll on global markets.
Bankers are still dealing with the fallout from the financial crisis, including a wave of litigation which Deutsche Bank on Tuesday said included its inclusion in Libor lawsuits.
Without deferred cash incentives, Deutsche Bank CEO Ackermann’s pay was almost flat at 6.3 million.
Jain’s pay dropped by almost a quarter year-on-year to 5.8 million euros excluding the deferred cash incentives due to lower performance-related payments in 2011 when earnings slumped at the investment banking division he leads.
Jain is set to take over as co-CEO alongside Juergen Fitschen, who was given an overall 4.2 million euros in 2011. Without deferred cash incentives, he got 2.9 million euros.
Jain’s investment bank division accounts for the lion’s shares of group profit.
While base salaries at Deutsche amounted to 8.6 million euros, down from 9.4 million in 2010, share-based long-term incentives rose to 15.1 million from 12.3 million euros.
Editing by Dan Lalor and Erica Billingham