Jan 26, 2023
Wells Fargo Holds CEO Scharf’s Pay at $24.5 Million for 2022
(Bloomberg) -- Wells Fargo & Co. kept Chief Executive Officer Charlie Scharf’s pay at $24.5 million for 2022, a year in which both profit and stock tumbled and the bank continued to grapple with the fallout from a raft of scandals.
Scharf’s package comprised $2.5 million of salary and $22 million in incentives, according to a filing on Thursday. The CEO asked the board not to give him a raise because of the work left to be completed in overhauling the company.
Still, the panel credited him with addressing risk, control and regulatory issues as well as other improvements to its business.
“The board expressed strong confidence in Mr. Scharf’s leadership in driving the continued transformation of Wells Fargo and values his ongoing contribution and commitment to our shareholders, customers, communities and employees,” the bank said in the filing.
The US lending giant earned $13.2 billion in net income last year, down 39% from 2021. Results were marred by two quarters of steep operating losses tied to ongoing legal and regulatory issues including a December settlement with the Consumer Financial Protection Bureau. The firm remains under a Federal Reserve-imposed asset cap limiting its size to its level at the end of 2017.
Shares fell 13.9% in 2022, though it fared better than the 24-firm KBW Bank Index for a second consecutive year.
Rival JPMorgan Chase & Co. left longtime CEO Jamie Dimon’s pay flat at $34.5 million for last year, while Morgan Stanley cut CEO James Gorman’s 2022 compensation 10% to $31.5 million.
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