Tesco’s falling share price eats away at Dave Lewis and Alan Stewart’s bonuses October 27, 2014 Here's another reason for Dave Lewis to be concerned about Tesco's tumbling share price – it's already cost him around a quarter of the bonus accrued at his previous employer Unilever. Tesco bought out awards that both Lewis and new chief financial officer Alan Stewart forfeited from leaving their previous employment, which in the [...]
Important jobs, big bonuses and beating your colleagues: City workers are suffering from “status anxiety” but won’t talk about it October 17, 2014 People working in the City are suffering from increasing levels of anxiety because of a pressure to appear successful and mentally resilient, according to a psychiatrist at The London Psychiatry Centre. Dr Rafael Euba has treated people with work-related anxiety and depression from a wide range of professions, including many people who work in [...]
Bank of England fires back at Europe’s bid to stamp on bonuses October 16, 2014 Bankers need bonuses to create incentives to behave well, and the EU’s efforts to stamp them out are harming this goal, the Bank of England’s Andrew Bailey said last night. Stepping up the prudential regulation authority’s campaign against the bonus cap, Bailey argued that the cap was a “bad policy”. He told the City of [...]
Brussels claims British banks’ role-based allowances are in breach of EU bonus cap rules October 15, 2014 British banks face another nine months of rows with the European authorities and could end up in a fierce legal battle, after the European Banking Authority (EBA) yesterday claimed they were in breach of new EU rules on bonuses. The UK authorities back the banks’ role-based allowances, which are a new element of pay. [...]
Freud sorry for disabled wage row comments October 15, 2014 LORD Freud, a government minister in the department of work and pensions, was forced to apologise yesterday for appearing to suggest that disabled people were “not worth” the full £6.50 an hour minimum wage. Highlighting Freud’s comments at Prime Minister’s Question Time yesterday, Opposition leader Ed Miliband called for the former Labour adviser to consider [...]
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 [...]