THE CHIEF executive of Ulster Bank Group, Cormac McCarthy, will receive no bonus payment for 2008 or a pay increase for 2009 as the bank’s parent company, the part-nationalised UK bank Royal Bank of Scotland (RBS), said it was overhauling its pay structures.
In a move to quell public anger over pay and bonuses for top bankers, RBS is cutting cash bonuses by more than 90 per cent.
Mr McCarthy, a member of the RBS group executive management committee, is taking a reduction in pay in line with changes in remuneration for RBS board members.
His annual pay is not disclosed by Ulster Bank as the bank’s results are published within the overall financial report for RBS.
Senior managers at Ulster Bank will have their pay frozen, the bank said in a statement.
These managers include finance director Senan Murphy, head of corporate markets Robert Gallagher and chief executive of retail markets Mike Bamber.
Ulster Bank’s existing profit share scheme, worth 10 per cent of salary, will not be paid for 2008 and will be terminated for all future years.
No cash bonuses for 2008 will be paid to staff this year.
The bank said staff “essential to the bank’s future operation” will receive a deferred award for 2008 released in three equal annual instalments starting in June 2010.
