Capitec Bank’s robust financial performance in 2025 has significantly rewarded its top executives, with outgoing CEO Gerrie Fourie earning over R104 million in total remuneration. This figure, among the highest on the Johannesburg Stock Exchange, includes R86 million in short- and long-term incentives. The bank’s share price surged by 52%, outstripping rival banks, while headline earnings grew by 30%. These achievements, driven by strategic initiatives, boosted the company’s market value and justified substantial executive payouts. The remuneration committee highlighted the effectiveness of the bank’s pay structure in fostering exceptional leadership and sustainable growth, emphasising its performance-driven approach.
Beyond executive rewards, Capitec has improved wages for its broader workforce. In 2021, 9% of employees earned below R180,000 annually, but by 2024, this fell to 2%, primarily interns and recent graduates. Additionally, the share of staff earning between R250,000 and R500,000 annually rose from 18% to 62% over the same period. The chief financial officer received R20 million, with over half from incentives, reflecting Capitec’s commitment to rewarding performance across all levels. These efforts align with a growing trend among South African banks to disclose and raise minimum wages, responding to public focus on pay equity within the sector.
Other major banks have also adjusted their pay scales. Nedbank increased its minimum wage by 6.7% to R240,000 annually, while Absa raised its minimum by 8.7% to R250,000, both effective from April 2025. Standard Bank offers R258,390 for unionised staff, and FirstRand provides R215,000 for banking roles and R185,000 for non-banking roles, excluding benefits like performance bonuses or medical aid. Investec’s minimum salary is R250,000. While Capitec’s focus on fair pay and transparency aims to balance executive bonuses with workforce improvements, the significant gap between top earners and minimum-wage employees continues to spark debate. Serving over 24 million customers, Capitec’s success stems from digital innovation and client growth, but the high executive payouts may intensify discussions about income inequality in South Africa’s banking industry, particularly as the sector navigates economic challenges and public scrutiny.