Vince Cable: Bankers are not motivated by money – Telegraph.
The Business Secretary says bankers are motivated by being the best in their company but do not care how much they earn
Bankers are not motivated by money and just want to be highly valued members of their company, the Business Secretary has suggested.
Mr Cable said that bankers were not looking for high salaries but instead wanted to be in the top “quartile” of pay amongst their colleagues.
The Business Secretary said that despite legislation brought through Parliament to give shareholders more control of bonuses that are paid the reduction in huge pay-outs will not happen “dramatically”.
Mr Cable told Radio 4’s Today programme: “Bonus payments operate in many sectors of the British economy, not just in the banking system. An awful lot of it has got nothing to do with people feeling they need the money, they all want to be in the top quartile of pay. That’s why I brought in legislation last year, it’s now through Parliament, it’s now being put into effect to give shareholders much more effective control.
“We will see whether it works, because the current pay season is only just getting under way. The feedback I’m getting is that executives are now being a bit more careful, because they know that under the new system there is a binding vote and if the shareholders vote them down, they will be humiliated so there is more restraint.”
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Vince Cable: Bankers are not motivated by money – Telegraph.
