CICC demotes staff, cuts pay to slash costs


Tightening the belt: A general view of Two International Finance Centre in Hong Kong. CICC’s efforts to drive down costs come as deals from IPOs to mergers and acquisitions in China and Hong Kong have plummeted in recent years. — Reuters

SHANGHAI: China International Capital Corp (CICC) is planning to demote some of its senior bankers and cut their pay, people with knowledge of the matter say, an unusual move that could lead to voluntary departures from one of the country’s largest investment banks.

CICC has communicated to bankers internally that some individuals could lose their managing director titles and be relegated to lower ranks under a new performance-rating system that took effect recently, said the people, who declined to be identified because the discussions were private.

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