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Bank bosses enjoyed pay hikes in 2023, while rank-and-file workers were handed another year of stingy bonuses, according to this week’s round of earnings.

Nowhere was that more evident than at Standard Chartered, whose chief executive officer Bill Winters saw his pay package rise 22%, according to Bloomberg, citing the London-based bank’s 2023 earnings report released Friday.

Winter’s total compensation surged to roughly $9.9 million last year — a jump from $8.1 million in 2022 –despite Standard Chartered’s overall bonus pool falling 1%, to $1.57 billion, in 2023, Bloomberg reported.

The disparity between the board room and the cubicles was even worse among Wall Street’s major lenders.

Citibank chief Jane Fraser received a 6% pay bump, to $26 million, while its bonus pool tumbled about 20% in 2023, according to Financial News London.

A lot of people thought wed be at least flat on last year, an unnamed senior dealmaker at the firm told the outlet. People were shocked.

Fraser’s payout came as Citi’s profits plummeted 38% year-over-year at the bank in 2023.

Fraser implemented a sweeping overhaul intended to consolidate departments last November, with the goal of trimming the bank’s global headcount from 239,000 to 180,000.

Last month, Citi said that 20,000 staffers can expect to be handed a pink slip over the next two years after the bank reported its worst fourth-quarter earnings in 15 years.

Still, the bank’s board said that Frasers compensation increase was justified because of her execution of the most consequential set of changes to its organizational and management model since the 2008 financial crisis and the sale of international businesses.

Among peers on Wall Street, Morgan Stanleys former CEO  James Gorman got a pay bump of 17% in his final year heading up t he bank — which also slashed the size of its bonus pool.

Morgan Stanley’s rank-and-file received payouts that were slashed by as much as 15% from 2022 to 2023, Financial News reported.

Gorman is set to officially retire come May, ending his nearly two-decade tenure at Morgan Stanley, which reported a hit to its 2023 fiscal year earnings when it said profits plunged 32% year-over-year, to $1.5 billion.

Goldman Sachs CEO  David Solomon was another bank boss to get a pay bump despite lagging profits.

Solomon’s pay rose 24%, even though the firm posted a 24% decline in net profit last year as Goldman suffered from a slowdown in investment banking activity that led to thousands of job cuts.

Sources told The Post earlier this month that compensation at the firm was up $350 million from last year,” and a spokesperson for Goldman has insisted that its “compensation philosophy hasnt changed, were always focused on investing in our people, especially our top performers.

Despite reports on Financial News that Goldman bankers saw as much as a 10% raise in 2023, sources confirmed that employees may have received more or less than that depending on their performance.

JPMorgan Chase CEO  Jamie Dimons compensation also climbed 4.3% following a year of record profits for America’s largest lender.

The firm posted an impressive $49.6 billion in profits in 2023 — the most ever in US banking history.

As a result, compensation and morale remained relatively stable among the rank and file, sources told The Post.

One employee even went so far as to call his bonus awesome. 

HSBC CEO Noel Quinn saw his pay roughly double last year, from $7 million to $13.4 million, despite the widespread recession fears, stubbornly high inflation, layoffs, and cost cuts that defined the finance sector in 2023.

HSBC on Wednesday reported that its bonus pool also saw a 12% rise in 2023 — defying a trend of lackluster bonuses across the banking sector, per Bloomberg — as the UK lender enjoyed record profits on the heels of elevated interest rates.

Two banking chiefs didn’t have as much to celebrate: Bank of Americas Brian Moynihan saw his pay fall 3%, to $29 million.

In addition, Barclays’ CS Venkatakrishnan was also an outlier.

He saw his annual bonus slashed by 27%, according to Bloomberg, after the London-based firm reduced its bonus pool by 3% as a result of a 15% dip in profits attributed to reduced activity in its investment banking division.

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Politics

Labour taking ‘Tory crown jewel’ feels like a momentum shift

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Labour taking 'Tory crown jewel' feels like a momentum shift

It was a wafer-thin victory, but a huge win.

The symbolism of Labour taking the West Midlands mayor, a jewel in the Tory crown, could be felt in the room as Labour activists gathered in Birmingham to celebrate the win with their new mayor Richard Parker and Labour leader Sir Keir Starmer.

There are moments on election journeys when the momentum shifts – and this win felt like one of them.

“We humbly asked [the voters] to put their trust and confidence in a changed Labour Party and they did. And that is a significant piece of political history that we’ve made here today,” said Sir Keir at his victory rally.

“So the message out of these elections, the last now the last stop before we go into that general election, is that the country wants change.

“I hope the prime minister is listening and gives the opportunity to the country to vote as a whole in a general election as soon as possible.”

Labour leader Sir Keir Starmer celebrates with the new West Midlands mayor Richard Parker. Pic: PA / Jacob King
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Labour leader Sir Keir Starmer celebrates with the new West Midlands mayor Richard Parker. Pic: PA / Jacob King

This win gave them the boost that was missing when they won the Blackpool South by-election on a massive 26-point swing, but then failed to pick up the hundreds of council seats they were chasing.

More on Conservatives

This win, on just 1,508 votes or 0.25 per cent of the vote, was a body blow for a Conservative party that believed they could just about cling on. Ben Houchen, the Tees Valley mayor, is now the last Tory standing.

For Labour, then a moment to bookmark.

Andy Street after losing the mayoral race for the West Midlands. Pic: PA / Jacob King
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Andy Street after losing the mayoral race for the West Midlands. Pic: PA / Jacob King

Just as Boris Johnson’s Hartlepool by-election win in 2021 was a low point for Sir Keir – he told me this week that he considered resigning over the loss because he thought it showed he was the barrier to Labour’s recovery – this too will feel devastating not just for Andy Street but for the PM too.

Labour has beaten him in a street fight. He’s bloodied with Sir Keir now emboldened.

“This was the one result we really needed,” said one senior Labour figure. “It’s been our top focus for the past week and symbolically a very important win.”

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Analysis of local election and mayoral results

And Labour needed the boost, because, as Professor Michael Thrasher pointed out in his Sky News’ national vote share projection calculated from the local election results, Sir Keir was not picking up the sort of vote share that Tony Blair was winning in the run-up to the 1997 Labour landslide.

His latest calculation of a 35% vote share for Labour and 26% for the Tories, put Sir Keir winning a general election but short of a majority.

Read more:
Conservative Andy Street suffers shock loss
Charts tell story of Conservative collapse
Analysis: Labour’s future success is less clear-cut

What the West Midlands mayoral win did for Sir Keir was to give him a clear narrative that he is coming for the Tories and will do what he needs to take them down.

It raises inevitable questions about what is next for Rishi Sunak. The prime minister had nowhere to go today, not one win to celebrate. The worst performance in council elections in 40 years, was already pretty much as bad as it gets before the loss of Andy Street. The former Conservative mayor was magnanimous towards the prime minister, saying the loss was his alone.

Defeated Andy Street followed by victor Richard Parker. Pic: PA / Jacob King
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Defeated Andy Street followed by victor Richard Parker. Pic: PA / Jacob King

But colleagues will not be so generous. One former cabinet minister said this loss was “devastating”. “We’re done and there’s no appetite to move against him,” said the senior MP. Many Tories tell me they are now resigned to defeat and believe Mr Sunak and his team needed to own it, rather than the rest of the party.

The coming days might be bumpy, the mood will be stony. But Tories tell me not much will actually change for them.

For Sir Keir, he now needs to sell not the changed Labour Party, but his vision for changing the country. The West Mids mayor’s win was dazzling, but it could have so easily gone the other way. And as Mr Sunak fights to survive, Labour still has to fight hard to win.

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Politics

CZ gets jail sentence, Gensler viewed Ether as security, and FBI targets mixers: Hodler’s Digest, April 28 – May 4 

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CZ gets jail sentence, Gensler viewed Ether as security, and FBI targets mixers: Hodler’s Digest, April 28 – May 4 

CZ gets four months in prison, Gary Gensler had Ether as security for at least 1one year, and the FBI targets crypto mixers.

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Environment

US Gov’t set to spend $46 million to electrify container ports

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US Gov't set to spend  million to electrify container ports

Multi-million-dollar grants adding up to more than $46 million from the US Federal Highway Administration (FHWA) will help support electrification efforts at several American ports.

The Long Beach Container Terminal (LBCT) in Long Beach, California has received a $34.9 million grant from the FHWA to replace 155 on-site commercial trucks and buses with zero-emission vehicles (ZEV). The grant will fund both the purchase of new electric trucks and the necessary charging infrastructure to support them.

LBCT said the grant dollars will allow it to continue its multi-billion dollar investments in more sustainable logistical operations. “Our vehicle electrification project, coupled with previous investments, enables LBCT to achieve a unique status that is reframing the way the world views sustainable goods movement, enhancing community quality of life and climate change,” said Anthony Otto, CEO of LBCT.

Real progress at Port of Long Beach

Long Beach Container Terminal, photo by LBCT.

Back in 2018, Power Progress reported that the Port of Long Beach had plans to install zero-emissions cranes and cargo handling equipment at its terminals. True to its word, the port has invested more than $2.5 billion to convert its cranes and terminal tractors vehicles to electric equipment. It’s a project that LBCT says has led to an 86 percent (!) reduction in harmful carbon emissions.

“This investment is a huge win for clean air, electrification and the region,” said US House Rep. Robert Garcia. “These federal dollars will make our port cleaner, safer and help us meet our climate goals.”

In a separate announcement, charging infrastructure operator Voltera said that its sites in California and Georgia would receive $11.4 million of the FHWA funding.

Electrek’s Take

No matter what you call it… …yard dog, yard truck, terminal truck, hostler, spotter, shunt truck, yard horse, goat, mule … …Orange EV pure electric trucks deliver.
e-Triever terminal tractor; via Orange EV.

Container ports used to be some of the dirtiest, most heavily polluted areas in the world. That was bad for everyone – but it was especially bad for the people who lived and worked near them. That’s why any positive change is good. Beyond just “positive change,” however, ports today seem to be leading the way when it comes to electric vehicle and hydrogen adoption.

How things change!

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