Major Wall Street CEO Has ‘Jerry Maguire’ Moment And May Be About To Change Banking Forever (VIDEO)

The CEO of a major Wall Street bank has made a startling confession about the way bankers are paid, and we should all be paying attention.

In the Tom Cruise movie, high-flying sports agent Jerry Maguire has an attack of conscience about the way his industry treats athletes, their sports, and the fans. He writes a memo calling for drastic changes to the way they operate, placing values over profits in certain circumstances. As a result, he loses everything.

But ultimately, Jerry wins back more than he ever lost.

A major Wall Street CEO may be about to bring the movie to life.

John Cryan is co-CEO of Deutsche Bank, whose offices reside at 60 Wall Street, a 50-storey office building in the heart of Lower Manhattan’s financial district. The bank’s net profit almost tripled in the second quarter of this year, to $904 million.

But speaking in Frankfurt this week, Cryan spoke out strongly against a culture of bonuses and overly-generous pay for bankers. First of all, he railed at his own paycheck.

“I have no idea why I was offered a contract with a bonus in it because I promise you I will not work any harder or any less hard in any year, in any day because someone is going to pay me more or less,” he said.

He then argued that Wall Street men and women expect to be paid like entrepreneurs:

“For turning up to work with a regular salary, a pension and probably a health-care scheme and playing with other people’s money.”

But he wasn’t done yet. He continued:

“There doesn’t seem to be anything entrepreneurial about that except the compensation structures.”

He concluded that this entitled attitude puts banks “in the ridiculous position where the baby’s been given the candy and you’ve got the difficulty of taking it away.”

He has a point. According to a new report from New York State Comptroller Thomas DiNapoli, Wall Street pay hit an all time high last year. Average salaries, including bonuses, rose by a whopping 14% – and the wolves of Wall Street now earn six times the pay of the rest of New York city’s private sector.

At the same time, workers in the wider economy continue to suffer the impacts of the Financial Crisis created by these bankers.

So are things going to change any time soon? Well, they will at Deutsche Bank. Cryan is going to be making some major pay cuts and changing remuneration models to better secure the bank’s financial future.

Let’s hope the rest of Wall Street follows suit.

Featured Image via YouTube Screengrab