After the bashing that the banks have taken following the economic crisis, huge losses from the payment protection insurance mis selling scandal, and ridiculous six-figure bonuses for being incompetent – the banks have found a way to retain their employees and attract new ones – a “pay off” using gold and fine wine.
A concocted scheme that is free of regulation, and has been named “broker dealers”.
According to the chairman of the International Search firm Sammons Associates, Jonathan Evans, the scheme was a “different way” “the banks cut the cake”, to boost their brokerage transactions by offering their top staff another form of remuneration.
Evans states, “clever minds (referring to banks) will work out how to make the overall pay package look more attractive”… even if it involves giving out gold.
The expose shocked members of the Treasury Steward Hosie and the House of Commons. The SNP Treasury spokesman stated, “Banks need to do more than just stick to the letter of the law on remuneration agreements – they need to abide by the spirit of the law”
“To hear that anyone in banking or stock broking is getting round the spirit of what’s intended by paying in bullion and fine wine is mind-boggling”.
Meanwhile, the HBOS’ former head of group regulatory risk, Paul Moore commented on the banks’ actions: “It demonstrates the banks are not acting in good faith and don’t want to solve the problem in the first place.”
I still haven’t figured out how this type of practice will restore consumer confidence in the banking system!! Any takers??