Salary of UOB chief executive Wee Ee Cheong up 11.5% to S$10.9m in 2021

THE annual salary of UOB's deputy chairman and chief executive Wee Ee Cheong has gone up in 2021, as the bank posted strong profits for the financial year amid an improved economic outlook and business situation.

Wee's annual remuneration rose by 11.5 per cent to S$10.9 million for the financial year ended Dec 31, 2021, according to UOB's annual report released on Wednesday (Mar 23).

This is compared with the S$9.8 million he received in 2020. Then, his salary was down 8.8 per cent from a year earlier, amid a challenging business environment due to the Covid-19 pandemic.

Wee's pay in 2021 comprises a base salary of S$1.2 million, a bonus of S$9.7 million, and benefits-in-kind and others - transport-related benefits, including the provision of a driver - of S$36,668.

Some 60 per cent of his variable pay is deferred and will vest over the next 3 years, of which 40 per cent will be issued in deferred cash while the remaining will be in the form of share-linked units.

Wee, who is an executive director, does not receive a director fee for serving on the board and board committees as he is remunerated as an employee. He is also not eligible to participate in UOB's revised share plan as he is a substantial shareholder.

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Under its revised share plan, UOB is planning to allow eligible non-executive directors to be granted share awards, subject to shareholders' approval. It is proposing to pay approximately 30 per cent of the non-executive directors' fees in the form of fully paid ordinary UOB shares in lieu of cash.

For FY2021, UOB posted a 40 per cent on-year increase in net profit to S$4.1 billion, while its total income rose 7 per cent on year to S$9.8 billion.

The bank said it saw strong performance across customer segments and geographies in the year, with stronger income growth and lower credit allowance as Singapore and regional economies gradually recovered from the pandemic.

In the annual report, Wee also sounded an optimistic note on the long-term potential of his bank's business in Asean.

The bank in January said it was acquiring Citi's consumer units in 4 Asean markets - Indonesia, Malaysia, Thailand and Vietnam - in an aggressive push to scale up its retail franchise in Asean. The deal will double UOB's existing retail base in the 4 markets from about 2.9 million to 5.3 million, accelerating its target 5 years ahead of time.

Shares of UOB were trading at S$32.08 at 11.32 am on Thursday, up S$0.18 or 0.6 per cent.

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