(21 January 2010 – Global) Credit Suisse has told staff that they will be reducing the bonus pool by 5 percent to pay for the new tax on bonuses deployed by the British government.The news continued to get worse for the UK based staff when 400 of the bank’s managing directors were told that they would also have there bonuses cut by 30 percent.
Credit Suisse is the first to announce how it will tackle the one-off 50 percent tax on bankers’ bonuses.
Andres Luther, a spokesman for the Zurich-based bank, confirmed the size of the reductions but declined to provide the total size of the bonus pool.
The finance minister in Switzerland had said that the government will not be introducing a similar 50 percent tax on bankers’ bonuses.
German based, Deutsche Bank has said that it intends to spread the cost of the tax out over all of its employees, however would not disclose the bank’s proposed methods.