30/01/2012
Hester Bonus Rejection Praised By Miliband
The Royal Bank of Scotland chief executive Stephen Hester has been praised after caving to political pressure to turn down his £1 million bonus.
It emerged on Monday morning that Mr Hestor would surrender his payment, after being criticised over his performance at the now publicly owned bank, with Mr Miliband saying he had "done the right thing".
"Labour was right to seek a parliamentary vote on this so that the people's voice could be heard. But the debate about fair executive pay and responsible capitalism is only just beginning. We need a government that will tax bankers bonuses and bring responsibility to the boardroom."
The bailed out bank, whose board is controlled by the taxpayer, announced on Friday morning that Group Chief Executive Stephen Hester would be offered the six figure sum as approved at the Annual General Meeting by 99.2% of shareholders.
The move was strongly criticised by MPs with Labour's Chuka Umunna accusing the Government of failing to rein in excessive bonuses.
“People will not be able to understand why, at a time when they are facing the biggest squeeze on their incomes in a generation, the Prime Minister has failed to act despite his promises to do so."
RBS said its Board had decided to allocate Stephen Hester the annual performance award of 3.6 million shares from the Share Bank award set aside for him in 2011. That figure reached some £963,000 based on the closing price on Wednesday when the decision was taken.
"The award will be made entirely in shares that are deferred and subject to holding conditions that mean that their full value cannot be received until late 2014," the bank said. The spokesman added: "Only then can their tangible value be established. This ensures complete alignment of the Chief Executive's interests with those of our shareholders."
(DW)
It emerged on Monday morning that Mr Hestor would surrender his payment, after being criticised over his performance at the now publicly owned bank, with Mr Miliband saying he had "done the right thing".
"Labour was right to seek a parliamentary vote on this so that the people's voice could be heard. But the debate about fair executive pay and responsible capitalism is only just beginning. We need a government that will tax bankers bonuses and bring responsibility to the boardroom."
The bailed out bank, whose board is controlled by the taxpayer, announced on Friday morning that Group Chief Executive Stephen Hester would be offered the six figure sum as approved at the Annual General Meeting by 99.2% of shareholders.
The move was strongly criticised by MPs with Labour's Chuka Umunna accusing the Government of failing to rein in excessive bonuses.
“People will not be able to understand why, at a time when they are facing the biggest squeeze on their incomes in a generation, the Prime Minister has failed to act despite his promises to do so."
RBS said its Board had decided to allocate Stephen Hester the annual performance award of 3.6 million shares from the Share Bank award set aside for him in 2011. That figure reached some £963,000 based on the closing price on Wednesday when the decision was taken.
"The award will be made entirely in shares that are deferred and subject to holding conditions that mean that their full value cannot be received until late 2014," the bank said. The spokesman added: "Only then can their tangible value be established. This ensures complete alignment of the Chief Executive's interests with those of our shareholders."
(DW)
Related UK National News Stories
Click here for the latest headlines.
29 June 2012
RBS Boss Turns Down Bonus Again
The Chief Executive of the Royal Bank of Scotland has waived his bonus for this year following the RBS computer failure that left many customers unable to access their accounts.
RBS Boss Turns Down Bonus Again
The Chief Executive of the Royal Bank of Scotland has waived his bonus for this year following the RBS computer failure that left many customers unable to access their accounts.
27 January 2012
RBS Boss Awarded £936,000 Bonus
The Board of The Royal Bank of Scotland has confirmed it is to award its Chief Executive with a £936,000 bonus, despite a disastrous year.
RBS Boss Awarded £936,000 Bonus
The Board of The Royal Bank of Scotland has confirmed it is to award its Chief Executive with a £936,000 bonus, despite a disastrous year.
17 April 2014
Co-Op Group Announce £2.5bn Loss
Marking the worst results in its 150-year history, the Co-op Group has filed losses of £2.5bn for 2013. The Group said that £2.1bn of losses came from the Co-operative Bank, including a trading loss of £1.44bn for the year to December 2013. The losses have been described as "disastrous" by chief executive Richard Pennycook.
Co-Op Group Announce £2.5bn Loss
Marking the worst results in its 150-year history, the Co-op Group has filed losses of £2.5bn for 2013. The Group said that £2.1bn of losses came from the Co-operative Bank, including a trading loss of £1.44bn for the year to December 2013. The losses have been described as "disastrous" by chief executive Richard Pennycook.
07 March 2011
Barclays Chief Executive Set For £6.5m Bonus
In Barclays latest published remuneration report, Bob Diamond, the bank's new Chief Executive is geared to receive a hefty bonus of £6.5m. As head of Barclays' investment banking and wealth management operations, the bonus was awarded for his 2010 performance. Mr Diamond only took over the Chief Executive position at the beginning of this year.
Barclays Chief Executive Set For £6.5m Bonus
In Barclays latest published remuneration report, Bob Diamond, the bank's new Chief Executive is geared to receive a hefty bonus of £6.5m. As head of Barclays' investment banking and wealth management operations, the bonus was awarded for his 2010 performance. Mr Diamond only took over the Chief Executive position at the beginning of this year.
02 August 2013
New RBS Chief To Forgo Bonus Until 2015
The new boss of the Royal Bank of Scotland will not take any bonus for his role until 2015. Shares in the bank fell 5% despite the announcement of a pre-tax profit of £1.4bn, up from a £1.7bn loss last year. It is understood that investors had expected a greater improvement.
New RBS Chief To Forgo Bonus Until 2015
The new boss of the Royal Bank of Scotland will not take any bonus for his role until 2015. Shares in the bank fell 5% despite the announcement of a pre-tax profit of £1.4bn, up from a £1.7bn loss last year. It is understood that investors had expected a greater improvement.
-
Northern Ireland WeatherToday:A showery start with outbreaks most frequent north of Lough Neagh and through the morning, before dwindling during the afternoon as the northwest breezes ease and brighter spells of weak sunshine prosper. Maximum temperature 8 °C.Tonight:A dry night, save for a few light showers around the coasts, with prolonged clear spells and light winds bringing a frosty dawn for many in central and southern parts. Minimum temperature -3 °C.