A Comparative Analysis of the Business Leaders Compensation in the Major French Mutual and Non Mutual Banking Groups

Hodonou DANNON * Centre européen de recherche en économie financière et en gestion des entreprises (CEREFIGE), Université de Lorraine. Contact : hodonou.dannon@univ-lorraine.fr.

Éric VERNIER ** Maître de conférences habilité à diriger des recherches, ULCO, LEM (UMR 9221) ; directeur, Chaire Commerce, Échanges et Risques internationaux, ISCID-CO. Contact : ericvernier@iscid-co.fr.

The objective of this study is to analyze comparatively the remunerations of the leaders of the six major French banking groups. The results indicate that the legal status explains the remuneration of the leaders of the French banking group. Limited liability banking groups are more generous than mutual banks in executive compensation. In addition, the remuneration is sensitive to the characteristics of the board of directors and the risk of the banking groups.