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Dutch bank ING scraps massive pay rise for CEO after protest

Europe
13.03.2018
By our dpa-correspondent and Europe Online    auf Facebook posten  Auf Twitter posten  
Amsterdam (dpa)- Dutch bank ING has withdrawn a planned 50-per-cent pay rise for its chief executive following a public outcry, the bank said on Tuesday.

The bank‘s decision intends to prevent further damage after last week‘s public backlash following the announcement that chief executive Ralph Hamers would receive a pay rise from 2 million euros (2.46 million dollars) to more than 3 million euros per year.

Hamer‘s planned pay rise sparked protests among customers, bank employees and politicians. Hundreds of customers closed their accounts at ING.

The Dutch government called on the bank to withdraw the pay rise and threatened it with legal measures. Hamers will now only receive a 2-per-cent pay rise.

"This is the only right outcome from this discussion," said Dutch Finance Minister Wopke Hoekstra, welcoming the bank‘s decision.

"We realize we have underestimated the public response in the Netherlands on this clearly sensitive matter," said the chairman of ING‘s supervisory board, Jeroen van der Veer, on the bank‘s website.

During the financial crisis of 2008, the Dutch government bailed out ING with a rescue package of 10 billion euros; the bank had to pay back the money.

 

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