Morgan Stanley is reconsidering the compensation received by the firms more established executives after public outcry has led investment banks everywhere to defend their practices. Alternatively, Stanley is responding to the criticism in a different way. The bank is rumored to be pursuing a lplan in which their senior executives are paid 25 percent of their salary for 2009 in cash and the remainder in deferred stock options.
Other alternatives being discussed to neutralize Wall Street compensation criticism include, 65 percent of the pay designated to Morgan’s top 30 executives being subject to return under the circumstances that future losses are incurred.
A third option being considered by the company’s pay committee is 20 percent on overall compensation being presented in the form of shares founded on Stanley’s share price in comparison with those of competing firms.
Shares of Stanely rose 12 cents as a result o the announcement in morning trading.
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