Top executives and senior managers at UBS AG will not receive bonuses in 2008, the company said today.
The executives will work under a new compensation model next year to help the company recover from more than $46 billion in mortgage-related write-downs taken this year.
The managers at Zurich, Switzerland-based UBS joins executives at The Goldman Sachs Group Inc. of New York in foregoing bonuses.
Starting next year, bonuses for top managers at UBS will be based on performance over a three-year period and they will receive variable pay based on the company's results.
The new policy was formulated following criticism of UBS after the Swiss central bank stepped in to manage a fund of troubled UBS assets valued at $60 billion.