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Results of the test will be released on July 23rd.Meanwhile, the European Parliament approved a directive that would introduce one of the world's strictest bonus regimes for bankers.Jeffrey Immelt, the boss of GE, stirred controversy by reportedly saying that "I really worry about China" and that the conditions for doing business there were adverse.
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Establish a strict bonus program, not a giveaway.
On Wednesday, the European Parliament rejected the plan of Sven Giegold, a German representative, to place strict limits on bonus payments and to outlaw some performance fees.
Overnight, EU leaders agreed to introduce what will amount to the world's strictest curbs on bankers' bonuses, railroading opposition from the UK Treasury.
12.15pm BST: Brown confirms at Commons question time that banks benefiting from the government's rescue package will be forced to accept strict conditions on bonuses.
The Continental Europeans have been quicker to impose a raft of regulation on big financial firms, including strict limits on bonuses, as in France.
Mr. Barnier told Mr. Geithner the U.S. should impose stricter curbs on bonuses". Goldman Sachs has been subpoenaed over its role in the financial crisis, reports David Hilzenrath: "A prosecutor in New York has subpoenaed Wall Street powerhouse Goldman Sachs for information related to the financial crisis, a person familiar with the development said Thursday.
In March they did back strict limits on bonuses and golden handshakes.
This year alone there have been two nationwide referendums on executive pay, one of which approved strict limits on bonuses and banned golden handshakes.
"Absence policies are definitely becoming stricter – one example would be having a bonus or 'attendance allowance' that is then forfeited if the worker is off sick," he said.
The European Union took a big step Thursday toward putting strict limits on the bonuses paid to bankers, hoping to discourage the risk-taking behavior that set off the financial crisis.
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