National Australia Bank today said it had slashed remuneration for its executive team after a public inquiry uncovered evidence of misconduct at the bank and across the financial sector.
The lender reduced total rewards at current target levels for its chief executive by about 11% in fiscal 2018, from 2017.
Rewards for its executive leadership team would be reduced by about 15% from 2017, the bank said in a statement.
The bank also flagged changes to its performance-based incentives, and said the board could defer or forfeit any variable rewards for executives.
NAB's top consumer banking executive, Andrew Hagger, announced his resignation this week after the inquiry heard his division had charged fees to hundreds of thousands of retirees for financial advice they never received.
The bank has apologised and promised to pay A$87m in compensation over the malpractice, which is also subject to an ongoing lawsuit filed by Australia's corporate regulator.
