Sign up to new code of conduct or quit, Barclays' staff told

 

Barclays' staff were today told to sign up to an ethical code of conduct or quit, as part of the bank's crusade to repair its battered reputation.

In a memo sent to the bank's 140,000 employees worldwide, new chief executive Antony Jenkins said performance would be judged on a set of ethical standards in an attempt to overhaul the culture in the wake of its Libor-rigging scandal.

The banks' new code of conduct will centre on five values - respect, integrity, service, excellence and stewardship.

Mr Jenkins said: "Performance assessment will be based not just on what we deliver but on how we deliver it.

"We must never again be in a position of rewarding people for making the bank money in a way which is unethical or inconsistent with our values."

Mr Jenkins took over at the helm in August from predecessor Bob Diamond, who resigned after the bank was fined £290 million by regulators in the UK and United States for attempting to manipulate the interbank lending rate Libor.

Barclays has come under heavy fire from critics over its alleged culture of focusing on short-term profits and bonuses, as well as its processes and controls that failed to prevent the scandal.

Mr Jenkins said there was "a tendency at times, manifest in all parts of the bank, to pursue short-term profits at the expense of the values and reputation of the organisation".

"In doing so we damaged our ability to make long-term sustainable returns," he added.

He laid down an ultimatum for staff to adhere to the new values or find jobs elsewhere.

He said: "There might be some who don't feel they can fully buy in to an approach which so squarely links performance to the upholding of our values.

"My message to those people is simple: Barclays is not the place for you. The rules have changed. You won't feel comfortable at Barclays and, to be frank, we won't feel comfortable with you as colleagues."

The bank's forthcoming bonus round will come under particular scrutiny given last year's run of reputational blows, including mis-selling of payment protection insurance and interest rate swaps to small businesses.

Barclays told staff today what grades they achieved for 2012, which will have a direct bearing on how their bonuses are calculated, but the final pot will not be disclosed until its annual results next month.

Wall Street banks Goldman Sachs and JP Morgan Chase yesterday reignited the debate over bonuses as they announced sharp increases.

Goldman, which has nearly 6,000 staff in the UK and 32,400 worldwide, announced a 6% hike in its pay and bonus bill for 2012, to 12.9 billion US dollars (£8.1 billion), which equates to an average of 400,000 US dollars (£250,000) for each of its employees.

JP Morgan's staff salary and bonus costs leapt 5% to 30.6 billion dollars (£19.1 billion).

But Mr Jenkins signalled a step-change in how staff are rewarded at Barclays under his plan to make it a "values-driven" and "valuable" business.

He has already hired former Financial Services Authority boss Sir Hector Sants to the newly-created role of head of compliance and it is believed the ex-watchdog has also been tasked with helping rewrite the bank's pay strategy.

More details on the group's ethical code are expected alongside the results on February 12, while findings of an independent review being carried out by City lawyer Anthony Salz into culture and business practices at the bank are due before the bank's annual shareholder meeting in April.

PA

Suggested Topics
Start your day with The Independent, sign up for daily news emails
PROMOTED VIDEO
ebooks
ebooksA year of political gossip, levity and intrigue from the sharpest pen in Westminster
Arts and Entertainment
Under the skin: Sarah Kane in May 1998
theatreThe story behind a new season of Sarah Kane plays
Arts and Entertainment
Preening: Johnny Depp in 'Mortdecai'
filmMortdecai becomes actor's fifth consecutive box office bomb
Sport
Bradford City's reward for their memorable win over Chelsea is a trip to face either Sunderland or Fulham (Getty)
football
News
Lars Andersen took up archery in his mid thirties
video
Voices
Focus E15 Mothers led a protest to highlight the lack of affordable housing in London
voicesLondon’s housing crisis amounts to an abuse of human rights, says Grace Dent
Latest stories from i100
Have you tried new the Independent Digital Edition apps?
Independent Dating
and  

By clicking 'Search' you
are agreeing to our
Terms of Use.

iJobs Job Widget
iJobs Money & Business

Ashdown Group: Client Services Manager - Relationship Management - London

£30000 - £32000 per annum + benefits : Ashdown Group: A highly successful, int...

Recruitment Genius: Credit Controller / Customer Service

£18000 - £20000 per annum: Recruitment Genius: This rapidly expanding business...

Guru Careers: In-House / Internal Recruiter

£25 - 28k + Bonus: Guru Careers: An In-house / Internal Recruiter is needed to...

Recruitment Genius: Tax Assistant

Negotiable: Recruitment Genius: A Tax Assistant is required to join a leading ...

Day In a Page

Woman who was sent to three Nazi death camps describes how she escaped the gas chamber

Auschwitz liberation 70th anniversary

Woman sent to three Nazi death camps describes surviving gas chamber
DSK, Dodo the Pimp, and the Carlton Hotel

The inside track on France's trial of the year

Dominique Strauss-Kahn, Dodo the Pimp, and the Carlton Hotel:
As provocative now as they ever were

Sarah Kane season

Why her plays are as provocative now as when they were written
Murder of Japanese hostage has grim echoes of a killing in Iraq 11 years ago

Murder of Japanese hostage has grim echoes of another killing

Japanese mood was against what was seen as irresponsible trips to a vicious war zone
Syria crisis: Celebrities call on David Cameron to take more refugees as one young mother tells of torture by Assad regime

Celebrities call on David Cameron to take more Syrian refugees

One young mother tells of torture by Assad regime
The enemy within: People who hear voices in their heads are being encouraged to talk back – with promising results

The enemy within

People who hear voices in their heads are being encouraged to talk back
'In Auschwitz you got used to anything'

'In Auschwitz you got used to anything'

Survivors of the Nazi concentration camp remember its horror, 70 years on
Autumn/winter menswear 2015: The uniforms that make up modern life come to the fore

Autumn/winter menswear 2015

The uniforms that make up modern life come to the fore
'I'm gay, and plan to fight military homophobia'

'I'm gay, and plan to fight military homophobia'

Army general planning to come out
Iraq invasion 2003: The bloody warnings six wise men gave to Tony Blair as he prepared to launch poorly planned campaign

What the six wise men told Tony Blair

Months before the invasion of Iraq in 2003, experts sought to warn the PM about his plans. Here, four of them recall that day
25 years of The Independent on Sunday: The stories, the writers and the changes over the last quarter of a century

25 years of The Independent on Sunday

The stories, the writers and the changes over the last quarter of a century
Homeless Veterans appeal: 'Really caring is a dangerous emotion in this kind of work'

Homeless Veterans appeal

As head of The Soldiers' Charity, Martin Rutledge has to temper compassion with realism. He tells Chris Green how his Army career prepared him
Wu-Tang Clan and The Sexual Objects offer fans a chance to own the only copies of their latest albums

Smash hit go under the hammer

It's nice to pick up a new record once in a while, but the purchasers of two latest releases can go a step further - by buying the only copy
Geeks who rocked the world: Documentary looks back at origins of the computer-games industry

The geeks who rocked the world

A new documentary looks back at origins of the computer-games industry
Belle & Sebastian interview: Stuart Murdoch reveals how the band is taking a new direction

Belle & Sebastian is taking a new direction

Twenty years ago, Belle & Sebastian was a fey indie band from Glasgow. It still is – except today, as prime mover Stuart Murdoch admits, it has a global cult following, from Hollywood to South Korea