Deutsche Bank AG said employee pay raises for 2020 won’t take effect until April 1, postponing increases that typically show up at the start of the year.
“We will continue to compensate employees for their qualifications, experience and skills, commensurate with the requirements, size and scope of their role,” the company said. “The only thing that will change is the date for annual review fixed pay adjustments to become effective. In future, this date will be April 1, instead of January 1.”
The New York Post reported the change to compensation earlier, citing an internal memo from Chief Executive Officer Christian Sewing that blamed the need to cut costs.
Sewing has been reducing expenses after a year of turmoil that included a huge restructuring. The company is trimming the bonus pool at its investment bank by about 30%, people familiar with the matter said earlier this month. The worldwide revamp includes eliminating 18,000 jobs, suspending the dividend and exiting equity sales and trading.