The giant bank will distribute billion-dollar bonuses.

Bank of America Corp. will distribute a restricted stock pool worth approximately $1 billion (around 35 billion lira) among the majority of its staff. Experts point out that the giant bank is trying to increase its earnings while keeping its expenses under control, and it has also raised compensation to retain its employees.

THERE IS A $500,000 CONDITION

According to a note sent by CEO Brian Moynihan on Friday, this incentive, which is given in addition to normal compensation, will be awarded to employees earning a total of $500,000 annually. About 97% of the bank's global workforce will be eligible for this benefit. According to the note, the Charlotte, North Carolina-based company is awarding such rewards for the eighth time since the program began in 2017, totaling more than $5.8 billion. A bank spokesperson confirmed the content of the note. Moynihan stated in the note, "It has been another strong year for our company as we continue to grow and perform critical work that positions us for long-term, sustainable success while serving our customers."

THE BANK'S REVENUES INCREASED

This week, Bank of America reported a net income of $27.1 billion, a 2.3% increase compared to last year 2023. In a conference call with analysts on Thursday, executives said the firm is focused on increasing its revenue while also investing in the franchise and spending more on people and technology.

AWARDS AND COMPENSATIONS ARE FLYING AROUND

The largest U.S. banks on Wall Street are offering payment packages in the form of stock awards or cash bonuses to retain their top talent. On Friday, Goldman announced that it awarded retention bonuses worth $80 million each to CEO David Solomon and President John Waldron. According to the note, at Bank of America, a limited number of employees will receive cash bonuses based on compensation and local requirements, in addition to stock. Moynihan stated that the company will provide more information about specific award amounts to all eligible employees and executives in the coming weeks. The bank similarly rewarded the majority of its employees with a restricted stock pool a year ago. The firm also raised its minimum wage to $24 per hour in October and aims to pay $25 per hour this year.