Bankers' bonus cap to go in bid to boost City's competitiveness
Bankers' bonus cap to go in bid to boost City's competitiveness
Regulators have confirmed plans to scrap the cap on bankers' bonuses with the new policy going live at the end of this month.
Illogical nonsense
The timing of the change means banks will be able to offer bigger rewards in the upcoming round of bonuses, which regulators hope will give banks more flexibility about their cost base going into a potential downturn.
To manage costs better, going into a possible downturn, they’ll allow bigger bonuses to be paid?! How does that make any sense?
Because bonus is based on performance, lose a fuck ton, make zero bonus. If bonus is a bigger part of pay then it reduces the cost to the business compared to having high salaries that have to be paid whatever the performance.