The country’s top investment bank by market value has also yet to pay bonuses to bankers for work done last year, the two sources close to the matter said. The bonuses are usually paid out early in the second quarter.
All the sources declined to be named as they were not authorised to speak to the media.
CITIC Securities on Monday informed staff it would lower basic salaries of some of its junior to mid-level bankers by 6,000 yuan ($842.78) to 10,000 yuan per month, one of the two sources and a separate source said.
China’s well-heeled financial dealmakers over the past year have been getting a crash course in austerity with pay cuts and perks reined in as their state-owned employers respond to the “common prosperity” drive.
Reuters first reported in April, citing sources, that dealmakers at CICC would see bonuses slashed by as much as 40%, in one of the financial sector’s biggest cuts in two years.
China’s Central Commission for Discipline Inspection (CCDI) in February, vowed to eliminate notions of a “financial elite” and “parity with the West” as well as hedonism and the excessive pursuit of “money only” and “high-end taste”.
(Reporting by Julie Zhu and Selena Li in Hong Kong and Roxanne Liu in Beijing
Editing by Louise Heavens, Kirsten Donovan)