Bankers’ pay – Outrageous refusal to reform pay

WHAT planet are bankers on? Having brought the country to its knees, they are still engaging in a rotten culture where executives think they can pay themselves like kings.

In its review of pay packages and practices in a number of Irish banks, the Central Bank found that only one bank was taking an obvious lead on reforming pay policies. Not alone is this outrageous, it is an indictment of the banks, especially of the passive role played by directors in plush boardrooms, and a damning reflection of the failure of Government to bring banks into line. It is time to crack the whip and ensure that not a red cent of the €35 billion now pouring into bank coffers from the EU/IMF bailout package goes to line the pockets of greedy bankers.

So inadequate is the ongoing governance and oversight of remuneration practices in the banks that the Central Bank, the institution responsible for overseeing Ireland’s financial affairs, is urging non-executives to step up their scrutiny of company pay arrangements. If that means they should become whistleblowers and expose executives who are being overpaid they must be afforded far greater protection than courageous whistleblowers have received heretofore from vengeful organisations or passive Government ministers.