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Tuesday, 8 September 2009

Gordy on bonuses

A bit late I know, but I support the idea at least:
"Gordon Brown has pledged tough action to clamp down on excessive remuneration for bankers as part of an international effort to rectify the systemic weakness that led to the global financial crisis.

The prime minister said in an interview with the Financial Times that pay and bonuses should be based on long-term success not short-term speculative gains; banks should “claw back” bankers’ rewards if their performance suffered in subsequent years; and regulators should be able to impose higher capital requirements on financial institutions."

"Mr Brown said he hoped G20 leaders meeting in Pittsburgh this month would agree a “global compact for growth” that would include co-ordinated steps to withdraw stimulus packages and government support for banks; a deal on “trigger points” where countries would be expected to act to address global imbalances such as excessive current account deficits and surpluses; and an agreement on climate change."

He is the man with the ideas, he knows what he's talking about on the economy. A shame that he's unable to transfer his obvious brilliance for economics to politics more widely.

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