Today, during the ruling Labour Party’s annual conference, British Treasury chief Alistair Darling
, announcing that the U.K. will outlaw annual bonuses for bank executives in the Old Country.The new measures, according to Darling, will be implemented in an attempt to curb excessive risk-taking in Britian’s financial sector. In the future, British bankers will be offered bonuses for their performance over several years, rather than over a 12-month period.
“We won’t allow greed and recklessness to ever again endanger the whole global economy and the lives of millions of people,” Darling said.
Superlatives aplenty, he continued on to say that the move is designed to help “end the reckless culture that puts short term profits over long term success.”
This news comes on the heel of the Royal Bank of Canada’s announcement last week that it will be restructuring its pay scheme for bankers and traders.
Fellow primates, does this mean that the U.S. will soon be welcoming swaths of bankers to our shores from our northern neighbor and the U.K.? Should we build a fence or greet them with open arms?
There may not be sufficient evidence that limiting executive compensation will discourage recklessness or prevent future financial crises, so is the focus on banker pay by politicos abroad – and in the sweeping measures planned by the Fed in the U.S. – an easy way out or a legitimate countermeasure?
Darling is an idiot just like the rest of Brown's government. I've never before seen such an uneducated group of dunces in government
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How long do you think the Labour Party is going to be in power? Not after the next election, the Conservative Party is resurgent and even though I think they are vocally "outraged" they wouldn't do something so retarded as eliminate bonuses. This solidifies my resolve not to work in England.
So what do you do? -I work for an investment banking firm. Oh okay; you are like my brother, he works for Edward Jones. -No, a college degree is required in my profession
By eliminate I mean reduce/spread out. How does the several year plan even work- will analysts get yearly checks from banks they no longer work at?!?!
So what do you do? -I work for an investment banking firm. Oh okay; you are like my brother, he works for Edward Jones. -No, a college degree is required in my profession
Is this just hype ? How real is the threat ? I don't believe any government will walk the talk
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