Wells Fargo is reportedly considering scrapping 2016 bonuses for its top executives including the CEO and CFO

pulse

February 8, 2017 9:03 PM

Wells Fargo will not be giving out 2016 bonuses according to a Wall Street Journal report.

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Wells Fargo will not be giving out 2016 bonuses for top executives according to a report from the Wall Street Journal.

The Journal's Emily Glazer, citing people familiar with the matter, reported that the board of directors is considering witholding 2016 bonuses from current CEO Tim Sloan, CFO John Shrewsberry, and other top executives.

Wells was rocked during the second half of 2016 when the bank settled with regulators after employees opened accounts under customers' names without their knowledge.

According to the settlement, employees of Wells Fargo opened as many as 2 million fraudulent accounts.

Withholding the bonuses was not due to the board placing blame on the executives for the scandal, according to the Journal, but rather holding high-level members accountable for the bank's performance.

The scandal led to a congressional investigation and the resignation of former CEO John Stumpf.

Stumpf was then replaced by Sloan, a 26-year veteran of the bank. In the wake of the scandal, Wells Fargo reformed its sales incentive practices for employees.

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