Bank of America (BofA) is planning to raise base pay for some of its managing directors at its investment banking arm in the European Union by about 20% to $500,000.
The move comes in the midst of tougher EU rules on bonuses in the region, reported bloomberg.com citing a familiar person.
Meanwhile, European regulators are working on plans to ban bonuses that are more than twice fixed pay, while banks are finding ways to avoid the stricter EU bonus rules on compensation.
Furthermore, Goldman Sachs is also planning to hike fixed pay for some of its European senior staff and traders as regulators prepare to restrict bonuses in the region, added the news source citing a familiar person.
The investment banking firm is planning to make role-based payments to some of its senior bankers and traders apart from their annual salaries and bonuses.