Goldman Sachs to Scrap Its Pre-Brexit Cap on UK Bonuses
- Approach offers more flexibility in managing costs: spokesman
- Move set to spark concerns among some over cuts in fixed pay
Employees at the Goldman Sachs Group office in Birmingham, UK.
Photographer: Jason Alden/BloombergThis article is for subscribers only.
Goldman Sachs Group Inc. is preparing to scrap an EU-era cap on bonuses for hundreds of its staff in Britain, paving the way for some successful and highest-paid traders and investment bankers to make many times their base salaries.
The move, coming on the back of the UK government’s decision six months ago to remove local pay restrictions for bankers, was announced internally on Thursday by Goldman Sachs Group International Chief Executive Officer Richard Gnodde, a person familiar with the matter said, asking not to be identified discussing company information.