Mitsubishi UFJ Financial Group top executives will take pay cuts as Japan’s largest banking group seeks to restore client confidence after breaching information firewalls.
Chief Executive Officer Hironori Kamezawa will see his salary reduced by 30% for three months while Chairman Kanetsugu Mike’s compensation will be cut by a similar amount for five months, MUFG said in an statement on Friday. Junichi Hanzawa, CEO of the group’s flagship banking unit, and Makoto Kobayashi, head of its main brokerage arm, will also receive the same pay cuts for three months to take responsibility for the lender’s violation of client confidentiality rules.
The same salary punishment will also hit MUFG Bank Chairman Naoki Hori and Mitsubishi UFJ Morgan Stanley Securities Chairman Saburo Araki for two months. In total, 21 officials, including some retired executives, will give up part of their pay.