Staff at Hang Seng Bank can expect a pay rise of up to 12 per cent this year - their highest for 14 years.
In an internal circular issued to the bank's 7,800 employees yesterday, management said there would be a pay adjustment of between 2 per cent and 12 per cent, depending on the performance of individual employees. The new rates will take effect this month.
Staff received a 10 per cent pay rise in 1994.
But the management warned that anyone whose performance was 'unsatisfactory' would not receive any pay rise.
On the issue of annual bonuses, the circular said these would be determined after the bank's annual financial performance was known in March.
Hang Seng Bank is the third-largest money lender in Hong Kong by assets. It is also a principal member of the HSBC Group, which is among the world's largest financial services organisations and holds about 62 per cent of the bank's equity.
A spokesman for the Hong Kong Banking Employees' Association, Stephen Yu Siu-wah, welcomed Hang Seng Bank's move.