Oil Fund Executives’ Salaries Revealed: Millions in Paychecks
The Government Pension Fund Global, often called the Oil Fund, is under scrutiny as details of its executives’ pay packages surface. The fund, managed by Norges Bank Investment Management (NBIM), invests on behalf of the Norwegian people, and the recently disclosed salaries are raising eyebrows.
Top Earners’ Compensation
In 2024, the top-earning employees at NBIM, including the chief and deputy chair, received substantial compensation packages. These figures were revealed in the annual accounts. The five highest-paid employees, primarily from the London office, had total allowances ranging from NOK 12.92 million to NOK 16.97 million.
Nicolai Tangen, the NBIM chief, had a fixed salary of NOK 7.38 million. Deputy Chair Trond Grande received NOK 5.38 million, according to the report.
NBIM’s Communications Manager, Line Aaltvedt, justified the high salaries, citing the need to remain competitive in the global market. She noted, “The salary level in London and New York is generally high, and we must be competitive in order to be able to attract skilled employees.”
Confidentiality and Justification
Initially, access to the salaries was denied due to confidentiality concerns. NBIM argued that disclosing individual wage information would put the bank at a disadvantage. The online newspaper appealed to the Ministry of Finance and eventually obtained the anonymized salary data.
NBIM competes internationally for highly specialized labor. Aaltvedt stated, “Our pay policy is to be competitive but not the market leader.”
Salary Structure in Oslo
At NBIM’s Oslo office, many employees earn over NOK 1 million. Out of 374 section leaders, specialty and senior advisors, advisors, and analysts, 266 employees fall into position groups with an average fixed salary exceeding this amount in 2024.
Section leaders in Oslo are at the top with an average fixed salary of around NOK 1.6 million. The analysts have the lowest average with NOK 670,000 for men and NOK 679,000 for women. In addition, there are dozens of directors in Oslo that have millions of fixed salaries.
Fund’s Value and Mission
The Oil Fund’s value is currently at NOK 19,324 billion. The NRK series “The Oil Fund-on the inside” highlights NBIM’s social mission. The fund has a significant impact on Norway’s prosperity. The Norwegian Prime Minister’s salary is NOK 2.1 million, with ministers earning NOK 1.7 million.
According to a 2024 report, the average salary for financial analysts in London is £75,000, which is equivalent to about NOK 1 million (Payscale.com). This underscores the competitiveness of the London job market.
NBIM, wholly owned by the Norwegian state, operates with its own wage systems and pension schemes, independent of the state’s tariff areas. This independence allows NBIM to set competitive salaries to attract top talent in the global financial market.
