ABN AMRO paid out a total of 1.5 million euros in bonuses to managers between 2016 and 2024, despite a strict bonus ban that applies to state-backed banks. The bank confirmed this in a statement today, also expressing its \"regret\" over the course of events.<\/p>\n\n\n\n
The bonus ban had been in place since the nationalization of ABN AMRO in 2008, when the state rescued the bank during the credit crisis. Not only members of the executive board, but also the underlying management were covered by this ban. Nevertheless, dozens of managers still received performance bonuses in recent years, in violation of the rules.<\/p>\n\n\n\n
According to ABN AMRO, it \"acted in good faith\" and misinterpreted the ban. The bank says it is \"aware of the potential social impact\" and says it accepts the fine imposed by De Nederlandsche Bank (DNB).<\/p>\n\n\n\n
The regulator reacted sharply. \"Society's trust in financial institutions is damaged by this violation, while banks perform an important social function for a well-functioning economy and society,\" DNB said, describing the violations as \"serious.\"<\/p>\n\n\n\n
Wage increases far above collective bargaining agreement<\/strong><\/p>\n\n\n\n In addition to bonuses, ABN AMRO also appears to have awarded pay increases that were significantly above the collective bargaining agreement. In one case, a manager received raises of 11.4 percent and 28.8 percent two years in a row, while the collective bargaining agreement for the same period provided for increases of only 1.5 and 2.5 percent, respectively.<\/p>\n\n\n\n DNB stresses that this also violates the wage increase ban that applied to state-owned banks. \"Especially banks that have been kept afloat with taxpayers' money should behave impeccably,\" he said.<\/p>\n\n\n\n State share declined, but influence remains<\/strong><\/p>\n\n\n\n Although ABN AMRO has now been largely privatized and the State still owns less than a third of the shares, the bank is still subject to stricter remuneration rules because of its past. These rules should prevent public funds from being used indirectly for excessive remuneration.<\/p>\n\n\n\n The fine and revelations come at a sensitive time, as the social debate over financial justice and top incomes has reignited. Political parties have since responded, demanding clarification from outgoing Finance Minister Steven van Weyenberg.<\/p>","protected":false},"excerpt":{"rendered":"ABN AMRO paid a total of 1.5 million euros in bonuses to managers between 2016 and 2024, despite...","protected":false},"author":4,"featured_media":2880,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[17,2,14],"tags":[],"class_list":["post-2879","post","type-post","status-publish","format-standard","has-post-thumbnail","category-actueel","category-buitenlands-nieuws","category-financial-nieuws","cs-entry","cs-video-wrap"],"yoast_head":"\n