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Bank bonus culture must end: Borg

TT/Stuart Roberts · 2 Sep 2009, 14:09

Published: 02 Sep 2009 14:09 GMT+02:00

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“The key question for this meeting is that we must put a stop to bonuses going through the roof again. The banks were partying like it was 1999, but it is actually 2009," he said before today’s finance ministers’ meeting in Brussels, news agency TT reports. “The bonus culture must end,” he added.

The meeting is intended to unify the EU in a common position before the G20 meetings to be held in London on Friday and Saturday, and in Pittsburgh later in September.

Story continues below…

TT/Stuart Roberts (news@thelocal.se)

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Your comments about this article

18:38 September 2, 2009 by Lisaann
Simply put, without Bank Customers, the Bank could not make the kinds of profits they do, And how are the Bank Customers paid, by a measly half to 1 percent on savings, et.c. So they make money in the markets, and keep all for themselves, taking wide spreads, etc, paying themselves high salaries and bonuses, whilst the mid to lower staff work their asses off for pitance, Hats off to Borg for taking a stand on certain issues.

Wake up Consumers...we are the ones struggling, whilst they use our money to live the most lavish lifestyles. As some say, its better to keep my money in a pot hole, than give it to the greedy Bank executives. That is why we have world crisis like these, ITS SIMPLY BECAUSE OF GREED!
20:38 September 2, 2009 by tommycapes
this guy is an embarrasment.
07:06 September 3, 2009 by here for the summer
i'm not a banker but it's not surprising that the same guy who wants to take 90% of peoples money in taxes also doesn't want anyone to make a lot of money. either as bonuses for earning money for their clients or even the clients making good returns. he is also against employers. "Borg bashes business group 'ideologues'". So tell me how you can be for employees and employment while being against employers ?
10:26 September 3, 2009 by seekingtruth
As far as I know Borg's party is mostly preoccupied with lowering taxes across the board. And even if the banks truthfully come off as greedy, it's better to deposit there than stuffing your pillow full. Inflation causes the money you save at home to become less worth each day while banks usually makes them increase or at least maintain their value.
11:46 September 3, 2009 by Lisaann
True, but then again, its extortionist the fees they charge for certain services, and the rate paid on your investments. The short of it is, Banks take a landslide profit from what they make in the secondary market, and insults the customer by paying them a fraction of the profits. There should be balance in everything we do, and when greed becomes the better of you....IT RESULTS IN WHAT WE ARE EXPERIENCING TODAY.
16:33 September 3, 2009 by here for the summer
Bankers means many things. The people who get the bonuses are the investment managers not the guys who handle your accounts. If he takes this from the banks then the money goes to the hedge funds .. mostly i see him as a radical lambasting capitalists. The biggest issue with investing in Sweden is the work rules which compared with even Denmark make developing a trained agile workforce difficult. This anti capitalist talk by the economic minister doesn't help attract and retain businesses and jobs.
17:28 September 3, 2009 by mkvgtired
here for the summer, "So tell me how you can be for employees and employment while being against employers ?" Your arguments make to much sense. Also, the rate they are paying depositors is directly influenced by the rate set by the central bank which is currently at 0.25%. Until this rate increases (in separate article the central bank says Autumn of 2010) deposit rates will remain low. Also when you deposit your money in a bank you are "PAYING" for security. If the bankers are making money in the markets and the customers want a higher return they should put their money in the markets. If the banks loose money they still have to pay their customers no matter what. They are taking the risk. Returns are almost always proportionate to the risk associated with the investment, i.e. zero risk, close to zero return.
00:55 September 4, 2009 by Kr0n
WELL DONE, SWEDEN! This is THE way to go if one wants to get out of the crisis and into a prosperous society! Sweden, being one of the true social-oriented countries in the world, has made a small, but important step towards an interest-free monetary system. Please read Silvio Gesell's "The Natural Economic Order" about how interest-free money can revolutionize crisis-hit economies:

06:03 September 5, 2009 by lancer
So they take all their money away. Will it make one bit of difference in your life? Will you be one bit better off? Oh you may feel better for it, but why? And where does the money go? Oh ofcourse, silly me, to the government and they have done such a fine job of money management in the past, haven't they.
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