Pay Cuts Fueled Leaving from State Banks of China
Published By : 27 Apr 2015 | Published By : QYRESEARCH
Bankers at the top state lenders of China are quitting their jobs in increasing numbers due to the cuts to their pay and perquisites, and shifting to a new class of financial enterprises such as leasing firms, trusts, and various online platforms, headhunters and bankers affirm.
As the part of a severity, anti-graft drive held in Beijing the previous year declared pay cuts of up to 50% for the senior-level bankers in state. Various state-owned lenders have quietly cut pays across the board since then.
The decreasing popularity of jobs in bank could make it hard for state lenders to employ and keep talent, making them unable to contend with new entrants. Mr. Maggy Fang, the managing director of executive compensation in Asia Pacific stated at Towers Watson, which is a professional services firm, that in the past they did not considered CVs from the state industry, but now they do, stating that that most of these CVs are from 30 something, mid-level, bankers.
At the Shanghai Pudong Development Bank Co. Ltd., also known as SPDB, one of the top-ten listed banks in China, a wide 10 to 20% pay cut at the headquarters this year fueled a rush to the exit and the better-paid jobs elsewhere, stated 2 bankers, still working at SPDB. A spokesperson for SPDB told that there had been no modification in policy, and salaries had raised as well as declined. He refused to discuss the departures of the bankers.