Bonus rules will lead to exodus of top bankers, EU warned
Sunday 31 October 2010
Some of the world's biggest banks have appealed to Europe's banking watchdogs to water down plans to curb bonuses or risk losing its best bankers.
Representatives from Credit Agricole and BNP Paribas said at a hearing in London last Friday that the EU rules were stricter than those proposed by the global Financial Stability Board and would not create "a level playing field". They claimed that banks could lose staff to the US and Asia.
The six main concerns on the bonus rules related to the strict limits on cash that could be paid upfront; taxation on deferred payments; the application of the rules on subsidiaries not based in Europe and retention periods for bonuses paid in shares. Others include what equity instruments could be used by organisations, such as co-operative societies, which cannot issue shares and the employment legislation legality and fairness of applying the rules retroactively to bonuses for 2010.
Representatives from Goldman Sachs, Citi, Barclays, and Deutsche Bank, raised similar concerns. Following the consultation, written submissions must be made by 8 November and the final proposals will be published in December. The new rules are meant to be in place by 1 January.
- 1 Fifty Shades of Grey movie trailer released: First look at Jamie Dornan as Christian Grey
- 2 Is Gideon Levy the most hated man in Israel or just the most heroic?
- 3 50 books for students to read this summer: From Ernest Hemingway to Gillian Flynn
- 4 Students offered grants if they tweet pro-Israeli propaganda
Israel-Gaza conflict: Israeli targeting policy under scrutiny after shellfire hits a mother and child, a school full of refugees and a doctor’s home
Peaches Geldof cause of death: Socialite had taken fatal dose of heroin after years of addiction, inquest concludes
Peaches Geldof: Her final day – and her fatal decision
Students offered grants if they tweet pro-Israeli propaganda
Iraq crisis: Isis orders Mosul shop keepers to cover mannequins
Malaysia Airlines MH17 crash: Vladimir Putin is given 'one last chance' to end hostilities in Ukraine
The 'scroungers’ fight back: The welfare claimants battling to alter stereotypes
The truth about conspiracy theories is that some require considering
Arizona execution lasts two hours as killer Joseph Wood left 'snorting and gasping' for air
Malaysia Airlines MH17 crash: Ukrainian military jet was flying close to passenger plane before it was shot down, says Russian officer
Malaysia Airlines MH17 crash: Massive rise in sale of British arms to Russia
iJobs Money & Business
£18000 - £20000 per annum + OTE £25K: SThree: SThree Group has been well estab...
competitive: Progressive Recruitment: This really is a fantastic chance to joi...
£40000 - £60000 per annum + BONUS + BENEFITS: Harrington Starr: CXL, Triple Po...
£60000 - £75000 per annum + BONUS + BENEFITS: Harrington Starr: Business Anal...