By Peter Eavis
New York Times News Service
Jamie Dimon, JPMorgan’s chief executive, has been awarded total pay of $20 million for 2013, a huge increase over the amount he received for 2012, according to a regulatory filing released Friday.
The bank’s board of directors approved the increase even though a steady stream of scandals and a raft of regulatory actions have in recent months cast doubt on Dimon’s leadership at the nation’s largest bank.
The big raise for 2013 came in the face of opposition from a vocal minority of board members, who wanted Dimon’s compensation for 2013 to be roughly equal to his pay for 2012, which totaled $11.5 million.
Last year, the board decided to cut Dimon’s 2012 bonus payout, a decision that was driven in part by a desire to hold him accountable for some of the issues that led to a multibillion-dollar trading loss stemming from a bad bet on derivatives.
Dimon’s 2013 package is made up of $18.5 million of restricted stock, which he will be free to sell over the coming years, as well as a base salary of $1.5 million.
The filing said that the board approved the increase in part because, under Dimon, the bank had taken steps to deal with its regulatory problems. It added that some of the regulatory actions related to practices at two firms that JPMorgan purchased — Bear Stearns and Washington Mutual — and therefore predated Dimon’s stewardship. Dimon was, however, in charge of JPMorgan when the two problematic firms were acquired.