EU targets immoral bank bonuses
Posted on February 3, 2012
The European Union (EU) might soon consider tougher measures on banker bonuses that go against “all reason, common sense and morality,” according to EU financial services commissioner Michel Barnier. From Bloomberg:
Barnier, who’s responsible for proposing laws that govern banks across the 27-nation EU, warned that he’ll seek extra legislation by the end of this year if lenders “carry on paying excessive bonuses.” Ideas being “worked on” include limiting the gap between minimum and maximum pay in a bank and also setting a ratio between fixed and variable pay, he said at a European Parliament hearing in Brussels today.
Most people on the right side of the political spectrum would call this socialism, but it’s interesting to see Barnier frame the issue not as one of political persuasion, but of decency. You can find previous postings on this subject here, here, and here.