Sallie Krawcheck Gets $6 Million While Bank Of America Prepares For Holiday Layoffs

Friday, October 14, 2011 07:17
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Sallie Krawcheck Gets $6 Million While Bank Of America Prepares For Holiday Layoffs

Tags: bank of america | Merrill Lynch

Former Merrill Lynch chief Sallie Krawcheck is getting a year of severance pay and a bonus that might be bigger than what she would have earned if she'd stayed. 

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Will the street-level Bank of America workers who just read that they might be among the roughly 320 people getting laid off in early December get a similar deal?

 

Krawcheck, purged a month ago, is earning back her normal salary -- $850,000 -- over the next year in exchange for scaling back her involvement with Merrill Lynch to a "consulting" role and agreeing not to work for any other brokerage firms.

 

The non-compete contract only lasts a year, so she can work again in late 2012. Her career is, almost certainly, far from over.

 

If she lives up to the rules, she gets a $5.15 million cash bonus. 

 

She only earned a $5.4 million bonus in 2010, when Bank of America was still in relatively good shape.

 

This year, with the parent company cutting $5 billion in costs to stay afloat, she probably would have made a little less -- and in any case, her shares are now worth half as much.

 

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