Goldman Sachs CEO David Solomon gets 29% pay cut to $25 million after tough year

Goldman Sachs CEO David Solomon will receive $25 million in compensation for his work last year, the bank said in a statement Friday. regulatory filing.

The package includes a base salary of $2 million and variable pay of $23 million, New York-based Goldman said in the filing. The bulk of Solomon’s bonus — 70%, or $16.1 million — is in the form of restricted stock tied to performance metrics, while the rest is paid in cash, the bank said.

Solomon’s salary, while significant, is about 29% less than the $35 million he was granted for its 2021 performance. Similarly, Goldman’s annual profits fell 48% to $11.3 billion amid a sharp drop in investment banking and asset management revenue, it said. the company last week.

While the bank was primarily impacted by slowing activity in industry-wide capital markets as the Federal Reserve raised interest rates, Solomon also faced its own problems. Goldman has been forced to scale back its consumer finance ambitions and lay off nearly 4,000 workers in two rounds of layoffs in recent months.

Solomon’s salary package is lower than that of CEOs Jamie Dimon of JPMorgan Chase and James Gorman of Morgan Stanleywho received compensation for 2022 of $34.5 million and $31.5 million, respectively.