Caps on bonuses: managers in banks and non-financial companies must become accountable

Brussels, 05/03/2013

The compromise deal will ensure that bankers’ horrendous annual bonus payments are capped and greater transparency for banks' accounts is provided for, on top of better capital requirements,” said Bernadette Ségol, ETUC General Secretary: “The financial crisis has demonstrated that the system of high gratifications in the banking sector has led to wrong incentives for bankers to take on risks at the expense of society as a whole”, she continued. “The Council must now enact the deal without further ado.”

With regard to the successful Swiss referendum on Sunday against management rip-offs in financial and non-financial companies, Bernadette Ségol concluded: “The Swiss population has given us an excellent example of limiting top managers’ ability to defraud company employees and shareholders. The EU should regard this as the writing on the wall and follow suit.