The fast-growing Klarna Bank AB is bleeding money.
Last year, the company made a loss of SEK 7 billion.
For the first quarter of the year, the loss was SEK 2.5 billion.
The company is now implementing cuts to gain control of costs.
At the same time, Klarna's remuneration model has created some of the Swedish banking industry's highest paid managers.
For 2021, the salary and remuneration cost for 91 managers and key personnel in Klarna averaged SEK 2 million.
For the Group's management team of nine people, the average cost was SEK 13.5 million.
This is more than the competitor Swedbank's CEO Jens Henriksson has in salary.
Swedbank, whose turnover is more than three times as large as Klarnas, made a profit of almost SEK 21 billion for 2021.
Do not want to be compared with Swedbank
The remuneration level for the 13 people in Swedbank's management team, with the exception of the CEO and Deputy CEO, is SEK 7.4 million on average, including pension.
Klarna's Head of Communications turns to the comparison with Swedbank.
- It is a bit strange because it insinuates that the compensation would be high in light of the fact that Klarna has made extensive investments in recent years, says Johan Gustafsson.
An important part of the Klarna executives' remuneration comes from a share bonus program.
Two managers have received share-related bonuses of more than SEK 10 million, three have received more than SEK 20 million and one person has received variable remuneration of between SEK 45 and 50 million.
"Understand that it is eye-catching"
Joacim Olsson, CEO of the interest association Aktiespararna, says that he understands if employees get annoyed about the compensation levels.
- I understand that it is striking, not least for the ten percent who are allowed to go, he says.
But he also says that if compensation and share option programs are long-term and properly designed, they can help the company grow and provide more employees and a higher shareholder value in the future.