It was interesting to hear that Bob Diamond, now president of Barclays and the head of their investment banking division was saying that severe restrictions on bankers bonuses would be bad for banking and for the economy because many bankers would leave.
This from a man who has, in the past recieved bonuses amounting to up to around £20,000,000 in a year.Well, he would say that wouldn’t he. It would seem rather unlikely that he would support measures to restrict bonuses having benefited so much himself, in the past.
What we need are bankers who are prepared to do their jobs for a fair salary and a fair bonus. The sorts of figures thrown around of just how large a proportion of bank profits are given out in bonuses is staggering. A bonus of 5% would be a lot but in some cases it is up to 50% that is surely a bad business practice by any standard.
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