How should the Bankers bonus culture be tackled?

[rov1200]

http://news.bbc.co.uk/1/hi/business/8235764.stm

1. Ban them completely
2. Cap them
3. Delay them for a number of years
4. Introduce higher rate of tax on the bonus
5. Make the bank pay an equal amount of the bonus into government coffers
6. Do nothing

or what other method?

[R1Geezer]

OK I work in a US bank in Britain and I got a bonus last year of $2000. The amount across the board for everyone does add up to a lot and that is often what is quoted in the cornflake spiitter headlines. In reality very few get the 5 figure bonuses that get al the publicity so I reckon the best option is to cap them to say a max of £50000 per person. That would effect very few people in reality.

[Ankou]

i think the tax thing would be the most viable option, but then these minted people have tendency to find loopholes which enable them to evade taxes in some way.

i work in a small plc and the directors of the organisation - there are about 160 of us worldwide - get an average of £25 - £30k bonus a year which is performance related against our business unit. this year, we all got zero. so the £50k mentioned by r1 still seems extortionate to me.

[jake-the-peg]

OMG!

Geezer - you do realise this puts you on the side of the French don't you!?!

You're not feeling starngely attracted to Blue and White stripey jumpers and the smell of burning lamb are you?

[R1Geezer]

Je capitule

[rov1200]

I'd be very surprised if the G20 or even the EU can come up with a coordinated policy on this as each country seems to have its own ideas probably linked to the financial institutions that operate in their own country. But I hope if an agreement is made by the majority Brown does not turn round and refuse to play ball. We have thrown the rattle out of the pram too often in the past and the only way to tackle this is to all operate on the same wavelength.

[rov1200]

Judging by Ch 4 News tonight it seems that Brown is joining France and Germany in a co-ordinated effort to cap bonuses as mentioned above. It is hoped the combined effort will force the USA to join up to the proposal. I suppose what people want to know is where the cap limit starts. In a way this is a clumsy solution as it takes no notice of what the bank has earned from the deal and can only add to their profits.

I would have liked the taxpayer to have gained from this extra profit.