In 2023, female bank staff earned, on average, almost 25% less than male staff, and the pay gap was more pronounced in investment firms, where women earned 32% less than men, according to data published by the European Banking Authority (EBA) on Tuesday 15 April.
The European authority encourages financial institutions and the national competent authorities to analyse the reasons for such pay gaps. It is announcing increased monitoring of aspects related to gender equality in its activities.
Furthermore, the EBA notes that the ratio between variable and fixed remuneration in investment firms has increased significantly with the implementation of the ‘Investment Firms Directive’ (2019/2034) from 2021. In 2023, this average ratio was over 145% and exceeded 520% in certain business lines (proprietary trading, placement of financial instruments). In the banking sector, the average ratio remained stable at around 60%.
Until 2021, investment firms were subject to the same requirements as banks, including a cap limiting the ratio between the variable and fixed remuneration of staff to 100%.
See the EBA report: https://aeur.eu/f/ggf (Original version in French by Mathieu Bion)