Same Old Same Old – Bankers Bonuses Are Out Of Control
There was yet another shock for the UK banking sector on Friday with the Lloyds Banking group making a statement stating that their losses are likely to be in the region on ten billion, yes ten billion! I keep reading that there is a good chance that the top brass of the banking sector workers are still going to receive their bonus. So how can this be? Talk about rewarding failure. So is this acceptable? In this article I will be giving my opinion on this much debated topic.
At the outset I would like to make it clear that I do not work in the banking sector; I am in fact a person who offers a cheap holidays service; I am also involved with projects to do with jobs in foster care and selling external doors for a composite door company.
I remember the days when you could seemingly fully trust your bank with your money and when they were also a good form of investment. Their management were always the most respected of businessmen who would be prudent with their financial transactions. This is no longer the case. It is as if they have left their own guidelines in the cupboard and that they are now gambling with our money. They have been seeking short term profits rather than investing for the longer term. I am sure that my own personal adviser once stated to me that this investment (I had just signed up for a stocks and shares ISA) should be seen as a long term investment, how ironic is that. This adviser worked for the then Lloyds Bank, now known as the Lloyds Banking Group, it is a shame that their senior management did not practice what they preach.
I was watching, with interest, the main men from these banks apologising on the television last week. It was pitiful, they were eager for our forgiveness and pointed out that they had learned from their mistakes and that it would never happen again. So are we supposed to forget the past and even forgive these people for the sheer mess that they have caused? Well would they forgive you if you missed a payment on your mortgage? Would they be happy to let you off if you went over your overdraft limit? I doubt it, they would impose charges and may even repossess your house. But what if you apologised and stated that you had learnt from your previous mistakes etc? It would make absolutely no difference!
As for their bonuses, there is no way that they should be paid any form of bonus. They have failed, they have let down their shareholders, they have let down many small businesses, they have let down the whole country. They should be feeling rather embarrassed about their falings.
