This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Dimon's Pay for Government Gig Upped to $20M (Update 1)

Stocks in this article: JPM

Updated from 9:15 a.m. to include details from the filing.

NEW YORK (TheStreet) -- JPMorgan Chase  (JPM) Chairman and CEO James Dimon earned a 2013 pay package worth $20 million, a big increase over the $11.5 million he earned in 2012, according to a filing by the bank Friday afternoon.

The 2013 pay hike comes after Dimon's pay was cut in half in 2012 to $11.5 million due largely to a notorious $6 billion proprietary trading blunder known as the London Whale. JPMorgan's board deliberated extensively and at times heatedly about what to do in 2013, according to The New York Times, weighing some $20 billion in regulatory fines against the bank's otherwise strong financial performance. The newspaper reported Dimon would get a raise early Friday, before the filing became public.

How you feel about Dimon really depends upon how you feel about big business generally. If you love big business, you probably love Dimon and think all the regulatory fines were just political nonsense. And you point out that despite the fines, the stock rose 35.5% and the bank earned $18 billion. If you don't, you probably think Dimon deserves to be fired and JPMorgan broken up.

I live in Brooklyn and mostly hang out with artist types so I guess it is my duty to be in the second camp, or I might have to find some new friends, and I generally don't get along so well with pro-Dimon types.

But on many days -- and today is one of those days -- big questions like these are just too much for me. I instinctively dislike Dimon. I think he's arrogant and a bully. Maybe those are good qualities for a CEO.

But a bank analyst I like once said to me that he thinks its absurd that "these guys" (i.e., the Dimons of the world) get paid so much to run what are essentially government utilities. He said that to me about two or three years ago, and it has stuck with me because I thought it was a good point.

If you sit on the board of a bank, I'm not sure what you do with that "government utility" question. Do you just insist on paying everybody what you think is fair while all the other banks in the industry pay 10 times as much?

Maybe you do. But you'd be taking a huge risk. And this seems like a good place to end this article before I go any further down this rabbit hole.

-- Written by Dan Freed in New York.

Disclosure: TheStreet's editorial policy prohibits staff editors, reporters and analysts from holding positions in any individual stocks.

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 18,053.71 +23.50 0.13%
S&P 500 2,088.77 +6.89 0.33%
NASDAQ 4,806.8590 +33.3870 0.70%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs