Standard Life Aberdeen staff are are up in arms after the group has cut bonuses to many staff and has handed others zero – a “doughnut” payout – according to The Telegraph.
Bonuses across the company have dropped significantly after it saw more than £40bn outflows during 2018, the paper reports.
One insider told The Telegraph: “People are not happy. Some wanted as much as previous years, but that was never going to happen.”
Another senior source told the newspaper that he was preparing for a pay cut but was “shocked” that the final figure was so low.
The news comes after the firm ended its joint chief executive structure last month. The structure had been in place since its merger was completed in 2017.
Keith Skeoch was handed the solo leadership role, while former Aberdeen Asset Management boss Martin Gilbert has become vice chairman of the group.
Elsewhere, Standard Life won a legal battle over an £109m Lloyds investment mandate. A tribunal ruled in favour of Standard Life, in a dispute that dates back to February 2018 when Lloyds decided that a major account managed for subsidiary Scottish Widows by Aberdeen Asset Management should be pulled because of the merger, bringing the firm in “clear and material” competition with Scottish Widows.
Arbitration ruled in its favour, deciding that Lloyds was not entitled to give notice of its intention to withdraw from the deal.