Bankers Ready to Sue If Bonuses Too Small

THE DAILY TELEGRAPH: A growing number of bankers are considering suing their employer if they do not get the bonus they think they deserve this year, according to City employment lawyers.

British banks should brace themselves for claims from "disgruntled" bankers who will not roll over and accept lower bonuses than usual despite the huge public and shareholder backlash against out-of-control pay, legal experts have warned.

One claim for £1.5m is understood to have already made its way into the system last year, after a banker believed their 2011 bonus was too low.

The case is believed to have been rejected before it got to court, with lawyers acting for the bank branding the claim "whimsical".

Judges are also said to be unsympathetic towards bankers' claims that their bonuses are too small in the current climate.

However, City lawyers said an increasing number of bankers were building cases in preparation of lower bonus payouts and were prepared to fight it out at court. Read on and comment » | Louisa Peacock, Jobs Editor | Monday, January 02, 2012

My comment:

I see no difference between the top-feeders and the bottom-feeders. They are all a scourge to a decent society. Let the bastards sue! Incarcerate all those that can be incarcerated. They got us into this mess; they should pay the price. – © Mark

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Ministers Say Bonus Culture Has to End
THE TELEGRAPH: Bumper annual cash bonuses for bankers could soon be outlawed after finance ministers from around the world ordered a major overhaul of the industry's pay system.

In a move which may foreshadow new legislation over compensation in the City and Wall Street, ministers meeting in Washington threw their weight behind a report which said banks' generous compensation structure was partly to blame for the credit crisis.

The Financial Stability Forum, a union of regulators from around the world, said the current system - in which bankers are frequently paid million pound-plus bonuses based on their annual performance - needed urgent reform.

Amid a raft of other recommendations, including an overhaul of the way ratings agencies work and a beefing up of the Basel rules on banks' accounts, the FSF said remuneration should be tied to performance over credit cycles, which last five or more years.

This could raise the prospect of bankers having to wait many years for bonuses, or even be forced to forfeit them if the bank's performance later disappoints. Ministers Say Bonus Culture Has to End >>> By Edmund Conway, in Washington | April 14, 2008

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