DBS Group allocates one-time bonus for lower income employees

This is in line with the latest National Wages Council guidelines, and an aggregated payment of S$15mn has been put aside for this expense. No date for the payout has been specified.

DBS Group has announced the allocation of a one-time bonus of S$1,000 for junior employees, which make up about 40,000 in headcount, to help them cope with the higher costs of living. This aggregate payment, for which S$15mn was set aside in 2023, will be made to lower-income employees, and is in line with the latest guidelines issued by Singapore’s National Wages Council. 

This was announced as DBS Group achieved record performance in 2023, seeing net profit rise 26% to S$10.3bn, while return on equity climbed from 15% to a new high of 18%.

However, the Group also took note of the series of digital disruptions faced in operations during the year, citing the need to hold the leadership team accountable. 

As such, the Board determined that the variable compensation for the CEO and other members of the Group Management Committee should be reduced.

Thus, despite the record-high 2023 profits, the variable compensation for the CEO and other members of the Group Management Committee was collectively reduced by 21% from the year before. CEO Piyush Gupta took a bigger cut of 30%, amounting to SGD $4.14mn. 

In addition to the above measures, DBS has committed S$80mn to implementing its technology uplift and resilience roadmap. "These efforts will enable the bank to better pre-empt disruptions to its services, provide customers with alternate channels for payments and account enquiries during disruptions, and shorten incident recovery time," as was shared in the statement.

Amongst the financial matters reported in the press release, DBS Group has also announced a CSR commitment of up to S$1bn over 10 years to support vulnerable communities in its key markets.

The first initiative under this pledge was announced in December 2023 – a S$30mn partnership with Singapore’s Ministry of Social and Family Development to help underprivileged families with children living in rental flats.  

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Lead image / 123RF