Brussels’ bank bonus bashing is an absurd game of whack-a-mole – Bottom Line October 15, 2014 Bankers are not stupid. This is hardly a controversial view in this newspaper, but it is a point which has been messily and repeatedly missed by EU regulators. When the bonus cap came in it took next to no time for the banks to get around it. Now the hammer of the regulators is slowly [...]
BBA dismisses new crackdown on bankers’ bonuses as “counterintuitive” October 15, 2014 The British Bankers Association (BBA) has dismissed moves by a European body to curb the use of fixed allowances as an alternative to traditional bonuses as “counterintuitive”. Today, banks were hit with the news that more stringent checks could be introduced to the pay of senior staff after an investigation found that several institutions [...]
Sluggish wage growth gives Bank of England a tough choice over interest rates October 15, 2014 Unemployment rate: down. Wages: up a tiny bit. How does this affect the Bank of England's plans for interest rates? At six per cent, according to the Office of National Statistics (ONS), the unemployment rate is looking healthier by the month. It’s comparable to the US rate (5.9 per cent) and far lower [...]
UK unemployment at lowest rate since the recession October 15, 2014 The UK labour market is looking stronger than expected, with figures out this morning showing an above-consensus drop in unemployment. According to the Office for National Statistics, the unemployment rate reached six per cent between June and August, the lowest rate since late 2008. While analysts were expecting a drop from the previous [...]
Budget deficit reduction efforts hit by low wage growth this year October 13, 2014 Income tax revenue is falling below expectations this year due to sluggish wage growth, the Office for Budget Responsibility (OBR) said yesterday, warning it will hit efforts to close the budget deficit. The economy is expanding strongly and creating jobs at a record pace, which should be good for the government’s finances. Unemployment stands at [...]
Chuka Umunna: Labour will cut tax for firms who lift wages October 13, 2014 Firms who pay their low-paid staff a higher wage should get tax breaks, Labour’s Chuka Umunna said yesterday, ahead of a debate in the House of Commons over the minimum wage. The shadow business secretary will call for an £8 per hour minimum wage, a new mandate for the Low Pay Commission (LPC) to push [...]
Earnings season: Morgan Stanley bankers set for bigger bonuses, while Citigroup and JP Morgan traders face drop October 12, 2014 Third quarter earnings season is here and the fun on Wall Street is about to begin. Morgan Stanley's bankers look set for the biggest bonus payouts on Wall Street this year, while JP Morgan and Citigroup bonus traders may be less fortunate. According to estimates seen by Bloomberg, Morgan Stanley "probably had the biggest increase [...]
Skills shortage in construction or property to push up wages by as much as 10pc, says Hays October 9, 2014 Recruitment giant Hays said yesterday that skill shortages were pushing up some white collar salaries as much as 10 per cent, despite sluggish wage growth across the economy as a whole. A booming jobs market has resulted in the firm placing 20 per cent more staff in its latest quarter than in the same period [...]
Signs of wage increases as City workers seek new career opportunities and firms expand October 8, 2014 Back from holiday and looking to move… the rush is on to switch career City workers are making the most of the UK recovery and firms’ expansion plans by hunting for new career opportunities and bargaining for bumper salaries. The number of professionals seeking new roles increased 25 per cent year-on-year in September. There are [...]
Surge in consumer confidence is slowed by poor wage growth September 29, 2014 THE RECOVERY in British consumer confidence has slowed down, GfK’s monthly survey showed yesterday, despite strong economic growth. Analysts believe poor wage growth and sustained inflation are to blame. GfK’s index surged up from sustained lows of minus 13 at the end of last year to plus one last month – well above the study’s long-run [...]