NFP Compensation Insights | July 2023
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Compensation for Bank Executives
Executive compensation continues to be a topic of intense scrutiny and complexity across all industries and compensation in the banking sector is no exception. In fact, the financial industry faces unique challenges and regulatory concerns that require a strategic approach to ensure long-term stability and growth.
In this month’s Compensation Insights, we dive into the complexities of executive compensation in the banking industry. We review the basic components as well as the controversies and challenges affecting compensation packages. Banks must strike a balance between attracting and retaining key talent while addressing stakeholder concerns and aligning pay practices with value creation. We hope you find this month’s articles insightful. As always, don’t hesitate to reach out to NFPCC for expert advice and guidance with your pay programs.
By Tyler Brown
Executive compensation is a complex and multifaceted subject that plays a crucial role in the functioning of banks. In a vibrant financial sector, the compensation of executives at banks is of significant interest and scrutiny. This comprehensive explanation aims to delve into the intricacies of executive compensation in the banking industry, providing insights into the factors that influence compensation packages, their components, and the controversies surrounding them.
Going Beyond Compensation to Attract, Retain Top Talent
Your employees probably don’t think about needing long-term care (LTC), especially if they feel young and healthy. But now’s exactly the right time for you to help them plan for the future. Baby boomers and successive generations will enjoy unprecedented longevity compared to previous generations. The upside is obvious. But there’s a downside: the number of chronic health conditions that can require costly long-term care. While most people conceptualize this need, they don’t have any LTC coverage.
Bank Leaders Voice Growing Concerns About Compensation, Hiring Challenges
Incentive pay, in particular, appears to be linked with more stress this year, a new survey shows.
A growing number of bank leaders are expressing increased concerns about compensation, succession planning and talent acquisition and retention, according to a June 20 report from Bank Director’s 2023 Compensation Survey.
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