Morgan Stanley more than doubled Chairman John Mack’s annual base salary to $2 million effective June 1, according to a regulatory filing by the bank.
Mack’s base salary had been $800,000, and he had opted to forgo a bonus for the last three years. His salary hadn’t increased since he rejoined the New York-based firm in 2005 as chairman and chief executive officer, according to today’s filing.
Mack, 65, stepped down as CEO at the end of last year, having led the company through its first quarterly loss in 2007 and the financial crisis in 2008. Mack told shareholders at a meeting earlier this month that he would resign as chairman if current CEO James Gorman ever told him he was in the way.
The raise followed the firm’s strategy “to move away from a compensation program focused largely on annual incentive awards toward one that is balanced between fixed, short-term and long-term compensation and to be in line with his new role and responsibilities as executive chairman of the company’s Board of Directors,” Morgan Stanley said in the filing.