With all the discussions going on about Banks and Bonuses, Footballers pay and incompetent services delivery, I thought why not post something?
I took a stab at the 'internet' version of what this means and here is the results:
What I really struggle to understand is this:
1. There is company law to government good governance and how companies are run. If someone breaks those rules, companies can and more often that not, are taken to court and prosecuted if found guilty.
2. If an individual does something to break the law, if they mis-treat, abuse or conduct fraudulent activity(ies), they more often that not, are taken to court and prosecuted if found guilty.
So, can someone please explain to me this:
A. A footballer can receive a monthly salary in six figures and for a whole season not score a goal or contribute positively to his team winning games / leagues.
B. A bank can manipulate information to influence market trading and shareholder confidence without being accountable to anyone.
How is this possible? Why not this:
If footballers were placed on minimum wage and when a team won, the goal scorer(s) would receive incentive bonuses and the rest of the team would receive contributory bonuses which would be a team percentage reflecting team effort. If the team did not win, or the team loses then no bonuses are paid out. If the team result is 0 / 0 then only minimum wage is paid out.
If bank management broke the rules, their bonuses throughout the period the rule breaking occurred is re-paid to the company and they are reported for fraudulent activity and prosecuted through the criminal justice system which will decide if guilty or innocent.
All bank bonuses should be scrapped at the high end. They already receive hefty salaries. There should, however, be a bonus payment to all front line and beneath management roles which is paid out only to that level everytime management make errors. I am sure Bank management teams would then think twice about their actions. I am also sure they would take far less unreasonable risks!