Pub. 1 2010 Issue 3

www.wvbankers.org 16 Compensation The compensation arena is one of the toughest to analyze. The recent financial meltdown has made most salary surveys dated within months of being published. The very words Bonus, Stock, Options, and others used to describe incentive compen- sation have become dirty words in most public circles when debating the underlying cause of the meltdown. Our survey re- sults indicate that 50% do not expect any changes in executive compensation, 19% will increase their use of performance- based equity programs, with 22% making revisions to bonus plans and targets. Less than 10% will measure their perfor- mance against their peer group. Although compensation is not currently the greatest fac- tor in determining whether a candidate is attracted to a new position, this is an area that forward-thinking banks should re- evaluate. Many banks across the United States have decreased bonus plans and/or stopped offering stock or 401(k) matches. Revising these strategies could represent an opportunity for attracting high-quality candidates when the competition for talent begins to heat up. Conclusion The banking industry has seen many changes due to the reces- sion, and management must now be prepared to adjust current processes to take advantage of opportunities that will soon arise. Regulations seem to be ever-changing and keeping up with them can be both timely and costly. Everyone is looking to cut costs without cutting services, aiming to keep customers happy throughout the process. Employees have been stretched to the maximum, and retention is critical in the months ahead. New hires will be needed in order to move forward. Although our survey does not offer any magical solutions or reveal overwhelming confidence, the situation is not all doom and gloom. The majority – 59% – feel neutral about the out- look for the banking industry. And considering the depth and strength of the crisis, perhaps that alone qualifies as optimism for the future. Should you require more information or if you are inter- ested in seeing a full copy of the survey, please contact the author, Brian Rhonemus at (248) 650-4800 or via email at brianr@asgteam.com . Q Q Financial Landscape — continued from page 13 Resourceful. Responsive. Reliable. Do business with someone who thinks like you. www.CBBonline.com 804.239.0452 Brian Rhonemus is theManagingDirector of the Financial Services Practice at Angott SearchGroup and he has been servicing the banking and recruit- ing industries for over twenty five years. Angott SearchGroup has achieved distinction as one of the nation’s largest and most successful search firms and is the partner choice among top companies seeking guidance and counsel on middle-to-senior management positions. ASG services a variety of banks, savings banks, mortgage banks, credit unions, insurance companies and other financial services companies throughout the nation.