China Merchants Bank is reclaiming CNY58.2 million in performance-related remuneration that it paid to 2.5 percent of its employees last year as the Chinese lender holds its employees accountable should they expose the bank to risk.
China Merchants Bank is recalling the bonuses paid to 2,876 members of staff, out of the 113,000 it had on payroll as of the end of last year, the Shenzhen-based lender said yesterday.
China Merchants Bank has set aside reserves for annual salaries payable to employees, but the distribution of these reserves will be affected should there be a big fall in asset quality, significantly worsened risk and profit as well as serious violations found by regulatory authorities, it said.
