Goldman shareholders urged to vote against one-off executive bonuses

Goldman shareholders urged to vote against one-off executive bonuses

Influential proxy adviser Glass Lewis has recommended that Goldman Sachs investors vote against special bonuses awarded to its top two executives at the company’s upcoming shareholder meeting, amid growing backlash over hefty remuneration in corporate America.

The pushback is a sign of frustration over pay packages at the largest banks. Wall Street’s leading firms increased pay by nearly 15 per cent in 2021, as dealmaking and trading boomed and in order to keep their top bankers satisfied amid a surge in global wage inflation.

Corporate America is facing a backlash over big bonuses awarded in 2021, which is on track to be a record high year for executive pay. Glass Lewis on Friday recommended shareholders at Coca-Cola vote against the company’s 2021 executive pay. Institutional Shareholder Services, the largest proxy adviser, has recommended shareholders at Honeywell International vote against bonuses.

Glass Lewis is taking issue with the decision by Goldman in October to grant performance-based stock worth $30mn to chief executive David Solomon and $20mn in stock for group president John Waldron. The awards would be paid out in October 2026.

In January, Goldman expanded these awards to include other members of its management team including Philip Berlinski, the bank’s global treasurer, and Kathryn