ING ended 2023 with a good fourth quarter. The net profit amounted to 7,2 billion euros. This is a doubling compared to 2022 and the profit is well above its own return target.
According to CEO Steven van Rijswijk, ING demonstrates an “excellent track record in delivering value all our stakeholders”. But is that so?
Reward for shareholders
One stakeholder, the shareholder, is indeed well served. ING paid out 2.023 billion euros to them in 6,7. Until 2025, they can expect an additional 7 billion (on top of the regular dividend payments to which they are entitled).
And for the ING employees?
Are the other stakeholders, the employees, also benefiting?
It's nice to work for a company that is doing well. But will you also benefit from this great result? Will you be extra rewarded for ING's 7,2 billion profit for 2023 and the RoE of 14,3% to which you also contributed?
- For most employees, the salary has not grown with inflation. On average, there has been a significant loss of purchasing power (see here the graph).
- You shouldn't count on job security either. ING announces an ambitious expansion of employment in the hubs by 2025. Experience shows that this is at the expense of employment in the Netherlands.
- A financial reward perhaps? ING has no profit scheme. There is no lucrative bonus scheme for most employees.
De Unie believes that remuneration lags behind shareholder remuneration and compared to employees at other companies in the financial sector. A correction would be appropriate. Our appeal to Mr Van Rijswijk: Ensure that the positive results indeed benefit stakeholders.
Contact
Do you have any questions regarding this message, or do you have information that is important? De Unie. Please contact the advocate Inge de Vries by sending an email to: inge.de.vries@unie.nl
