Bank managment compensation

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stone
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Bank managment compensation

Post by stone »

In the UK there is a constant news buzz about the pay of bankers and how the bonus culture caused slash and burn tactics etc. I was wondering whether a sensible reform would be to have pay (above a certain threshold) in the form of shares for life that gave the banker dividends and shareholder voting rights but that could not be sold and expired when the banker died.
That might encourage the management to conduct business in a way that actually created value rather than merely pillaging from taxpayers and shareholders.
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MediumTex
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Re: Bank managment compensation

Post by MediumTex »

All that would be needed for banks and most other public companies to get their compensation act together would be to get rid of these boards of directors who in recent decades have come to comply with management's compensation demands like indulgent parents with a selfish child.

It's sickening the way management has neutered many boards of directors.  It's like management are sultans and shareholders are treated as harems, while the boards of directors have just become harem eunuchs.
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