Deutsche Bank Rewards 647 Employees with Over EUR1 Million Despite Profit Decline

In a surprising move, Deutsche Bank has announced that it will reward 647 of its employees with compensation exceeding one million euros each, despite a significant drop in profits for the year 2024. This decision, highlighted in the latest financial report, showcases the bank's commitment to its workforce even in challenging economic circumstances.

According to the report, the total bonus pool reached its highest level in a decade, indicating a robust compensation strategy for the bank's top performers. Notably, the bank's CEO, Christian Sewing, is set to receive almost EUR10 million, reflecting an increase from the previous year, even as the institution reported a 36% decline in overall profits.

For the ten members of the executive board, their combined remuneration for the past fiscal year amounts to approximately EUR68.1 million. CEO Sewing alone accounts for around EUR9.75 million of this total, which marks a notable rise compared to his earnings in 2023.

The increase in high earners is striking, with 647 employees surpassing the million-euro income threshold, a considerable rise from 505 individuals in the previous year. Furthermore, one unnamed employee, ranked below the executive level, reportedly earned between EUR17 million and EUR17.9 million, setting a new record for the bank's disclosed salaries.

Deutsche Bank has justified these substantial salaries by pointing to a strong operational performance, particularly within its investment banking division, which achieved a pre-tax profit of EUR5.3 billion, despite a 7% decline compared to the prior year. The net profit attributable to shareholders saw a more drastic reduction, plummeting by 36% to approximately EUR2.7 billion, largely due to compensation settlements with former shareholders of Postbank, following its acquisition in 2010.

While the large bonuses have raised eyebrows given the profit downturn, the bank notes that part of these bonuses may be deferred until certain performance targets are met, with the final amounts to be confirmed in 2026. The total employee compensation increased from EUR10.3 billion in 2023 to EUR11.1 billion in 2024, reflecting the bank's strategy to maintain competitiveness in talent retention while navigating a challenging financial landscape.