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"High pay for success is perfectly acceptable, it is high pay for failure that needs to be addressed," said Mark Boleat, Policy Chairman at the City of London Corporation, which promotes the capital's financial sector.
In my experience, most people don't resent high pay for outstanding performance.
Until that ideology shifts (or the government intervenes), high pay for mediocre performance will continue.
But supporting high pay for bankers angers significant sections of British voters, who are struggling in a weak economy.
NOBODY minds high pay when it is deserved, you often hear; what is objectionable is high pay for failure.
Part of the way banks are supporting high pay for their workers is by shrinking their work forces.
Similar(31)
It is likely to require bigger staffs, greater centralization of decision rights, and dilution of the high pay-for-performance sensitivity that is so crucial to success.
After all, one of the main arguments offered in defense of sky-high pay for chief executives is that they need incentives to do a good job.
Workers accept riskier jobs for higher pay, for example.
More accountability and higher pay for teachers would help, too.
Officials marched into boardrooms to demand higher pay for workers.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com