Switzerland-based Credit Suisse (CS) has announced a plan to reduce its global bonus pool by 5% to pay for a new British tax on bonuses, Swissinfo reported on Tuesday.
“The global Credit Suisse bonus pool will be reduced by 5 percent,” said spokesman Andres Luther.
In addition, the bonuses of the bank’s 400 managing directors in Britain will be cut by 30%, he said.
The Zurich-based Credit Suisse is the first major bank to disclose how it plans to handle a one-off 50% tax on bankers’ bonuses, the details of which were unveiled last month by U.K. Chancellor of the Exchequer Alistair Darling. The super-tax applies to discretionary payments of more than $40K and will be paid by the banks rather than employees.
Germany’s Deutsche Bank (DB), Germany’s biggest bank with a global workforce of more than 78,000, said earlier this week it would spread the cost of the tax to all employees worldwide but did not indicate how precisely it was going to do that.
Credit Suisse is due to report full-year results on February 11.