On May 31, Yes Bank announced the restructuring of salaries for its senior leadership team, and also mandated that nearly a third of their yearly compensation be moved to the ‘variable pay’ category. According to the Company’s official statement, “the move to allocate 30 per cent of the total cost to the Company as variable pay is applicable to the ‘leadership team’ for FY21.”
Amidst the banking business giants, its bigger adversary, Kotak Mahindra Bank, has declared compensation cuts for all the representatives earning over Rs 25 lakh per annum.
“COVID-19 situation has exacerbated the gradually slowing growth momentum in the global economy and the revival of the economy will, to a great extent, depend on the robustness of the financial services sector,” the Yes Bank statement said.
The statement also claimed that, “The Bank is appreciative of the leadership team for their ‘unstinted support, demonstrating the highest level of ownership and commitment.’ Prior to this, the Bank is reported to have contributed a sum of Rs 10 crore to the PM-CARES Fund. Additionally, the staff of Yes Bank too had contributed a sum equivalent to one day’s compensation to the reserve to help aid projects to battle COVID-19.