Wells Fargo & Co. will be freezing raises in base pay for employees earning more than $150,000. The bank is doing so as its new leadership team considers costs as they retool compensation practices.
The measure was revealed to various managers via a conference call on Wednesday and will halt increases in pay in 2021 for those making more than the previously mentioned $150k. This is the continuation of a trend for the bank, who ust a few weeks ago sight to limit the added expense of rewarding well-paid employees.
Currently, Wells Fargo is attempting to cut $10 billion from its annual expenses, a plan that begin when Chief Executive Charlie Scharf took over last October. Last month, they cut a “sizeable group” of advisors and could make job cuts in the tens of thousands
The bank is telling that they are freezing these high paid employees salaries as they put “greater emphasis on how [they] support [their] lower-paid employees through [their] compensation and benefits program.”
