Credit Suisse tells some bankers bonuses will be in instalments

Some of Credit Suisse Group’s junior and mid-level bankers will get their bonuses paid out in instalments, the latest twist in the firm’s handling of employee compensation amid a tumultuous overhaul.

Some associates and vice presidents at the Zurich-based lender were told on Tuesday (Feb 7) that the much-anticipated rewards will be doled out in chunks, according to people familiar with the matter. Each of the three instalments will be paid about 40 days after Apr 1, Jul 1 and Oct 1, the people said, asking not to be identified discussing private information.

The bank is seeking to cling on to talent contending with a restructuring of its Wall Street operations after a period of scandals and losses sparked a tide of departures. Credit Suisse abruptly delayed compensation day for some of its investment bankers at the managing director or director level, pushing back conversations on bonuses that were meant to take place on Tuesday.

A representative for Credit Suisse declined to comment.

Credit Suisse plans to merge its investment-banking arm with rainmaker Michael Klein’s advisory boutique. The combination is supposed to form a First Boston unit that will eventually be spun out. Apollo Global Management is among financial firms showing an early interest in taking a stake in the unit, according to a separate person familiar with the matter. BLOOMBERG