The Government limits to 600,000 euros salaries in banks with public loans



Luis de Guindos

The Minister of Economy, Luis de Guindos, during a press conference after the meeting of the Council of Ministers. Ángel Díaz / EFE

The salaries of executives of entities that have received loans from the Fund for Orderly Bank Restructuring (FROB), such as BFA-Bankia, Banca Cívica, BMN and Caja España, will not be able to collect annual remunerations of more than 600,000 euros, according to the Minister of Finance. Economy, Luis de Guindos.

According to the data provided to the Bank of Spain at the end of last year, only the top managers of BMN are below this threshold, while those of Caja España refused to make public their remunerations.

Specifically, the president of BFA-Bankia , Rodrigo Rato, acknowledged that he received an annual remuneration of 2.34 million euros , which puts him at the head of these entities, followed by the CEO of Bankia , Francisco Verdú, to whom correspond 2.26 million annually.

The mission of the Government is not to fix the salaries of the private sector
The president of Banca Cívica , Antonio Pulido, and his vice-president Enrique Goñi, recognized 900,000 euros , while the president of BMN , Carlos Egea, receives an annual salary of 450,000 euros .

The Government also established a limit of 300,000 euros to the remunerations received by the top executives of the four entities intervened , and which are mainly owned by the FROB, such as Banco de Valencia, Catalunya Caixa, Unnim and Novagalicia .

The president of Catalunya Caixa, Adolf Todó, receives 1.55 million annually , and its general director Jaume Masana , 860,000 euros , while the general director of Unnim, Jordi Mestre, charges 960,000 euros.

In Novagalicia, President Jose Maria Castellano, and the CEO, Cesar González-Bueno, recognized a salary of 890,000 euros per year .

These limitations are contained in the Royal Decree Law on Financial Sector Sanitation, which was approved by the Council of Ministers on Friday and which, among other points, toughens the banking provisions , in order to have more healthy and efficient entities, and promote a new round of concentrations.

The new regulations address one of the aspects that has generated more social unrest in recent months, such as the high salaries received by the managers of banks and savings banks that have received public aid.

The Government asked the Bank of Spain for a report with recommendations on this matter, in order to introduce it in the financial reform.

De Guindos said that “this government is convinced that its mission is not to fix the salaries of the private sector , but that those entities that have received public aid have rewards that guarantee that the purposes intended to achieve such aid are met, and that they are example for a society subjected to many sacrifices “.

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