The $10.4 million man: CBA chief gets a rich reward

Commonwealth Bank chief executive Matt Comyn’s total pay rose from almost $7 million to $10.4 million in the latest financial year, as he received bonus shares linked to the bank’s long-term performance.

CBA, the country’s largest bank, on Wednesday said in its annual report that Comyn and most of its top executives received higher pay in 2023, driven by higher long-term bonuses.

CBA chief executive Matt Comyn received $10.4 million in pay last financial year.Credit: Peter Rae

Comyn’s fixed salary was unchanged at $2.5 million and his short-term bonuses were steady, but he also received $5.5 million in shares that vested under a long-term bonus scheme put in place in 2018-19, soon after he started in the job.

Other CBA executives who also received a pay rise due to bonus shares that vested in the year included chief financial officer Alan Docherty; institutional banking boss Andrew Hinchliff, retail banking boss Angus Sullivan, chief risk officer Nigel Williams, and human resources group executive Sian Lewis.

The pay rises came as the lender reported record full-year profits of $10.2 billion, but it also said there were signs of risks building in the economy as more households started to come under financial strain.

Comyn’s pay compares with $6 million received by ANZ chief executive Shayne Elliott last financial year, and $3.9 million for both NAB chief executive Ross McEwan and Westpac chief executive Peter King in 2022.

CBA non-executive director Simon Moutter, who chairs the board’s people and remuneration committee, pointed to the bank’s strong performance in the year to June and said it had also made better returns than rivals over the longer term.

Writing in the annual report, Moutter said the pay packets of Comyn and six other senior executives included shares from a long-term bonus scheme that was put in place in 2018-19.

He said these bonuses reflected “strong outcomes on relative [total shareholder return], trust and reputation, and employee engagement over the four‑year performance period, ending 30 June 2022.”

He said the board had focused on aligning executive pay packets with the bank’s performance and non-financial metrics, including some relating to environmental, social and governance issues.

“We acknowledge community and stakeholder expectations that the remuneration of executives should be commensurate and closely aligned to balanced financial and non‑financial performance outcomes, appropriately governed, and support sustainable long‑term value creation,” Moutter wrote.

“Our focus on sustainable performance has underpinned another year of good outcomes for our customers and stakeholders and that is reflected in executive remuneration outcomes.”

Comyn was appointed to run CBA in early 2018 after it was engulfed in a series of scandals including a massive money laundering compliance breach, and as the banking industry faced a royal commission into financial misconduct.

The Business Briefing newsletter delivers major stories, exclusive coverage and expert opinion. Sign up to get it every weekday morning.