BY COMFORT OGBONNA

UBS CEO Sergio Ermotti received a total pay package of 14.9 million Swiss francs ($19.1 million) in 2025, unchanged from his 2024 compensation, the bank said on Monday. The disclosure comes amid heightened scrutiny of executive pay in Switzerland following the collapse of Credit Suisse and ongoing regulatory reforms.

UBS reported that total fixed and variable compensation for its executive board reached 145.3 million Swiss francs in 2025, reflecting the bank’s continued emphasis on performance-based pay. The group-wide bonus pool also increased, totaling $5.1 billion compared with $4.7 billion in 2024.

Ermotti’s salary remains politically sensitive in Switzerland, where regulators are revising banking rules after UBS acquired Credit Suisse in a state-engineered emergency takeover in 2023. High payouts for banking executives have drawn criticism from lawmakers and the public, particularly as authorities aim to strengthen oversight and ensure financial stability.

Swiss Finance Minister Karin Keller-Sutter, who is leading the banking regulation overhaul, previously highlighted the disparity, noting in 2024 that she would need to work for 30 years to match Ermotti’s annual pay. The Swiss Federal Council is expected to release a proposal on a key capital requirement in the coming weeks. UBS has warned that the measure could make it less competitive, and the plan will then be reviewed and finalized by parliament.

The attention on executive pay is not limited to banking. Swiss pharmaceutical giant Novartis disclosed that CEO Vasant Narasimhan received a 24.9 million Swiss franc compensation package for 2025. Proxy advisory firm Ethos described the payout as “particularly excessive,” adding to the broader debate on corporate pay levels in Switzerland.

As regulatory changes unfold, UBS and other major Swiss companies face increasing pressure to balance competitive compensation packages with public and political expectations, particularly in sectors critical to the nation’s financial and economic stability.

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