So RBS is about to announce their bonuses for last year.
We will not doubt get some screaming that Obama has it right, that no one should get over $500,000.
Worth noting that the RBS bonuses will pretty much match Obama\’s strictures actually.
People can be paid more than $500k if the payments are in restricted shares in the bank.
In an attempt to appease ministers, RBS has indicated that no individual banker will receive a bonus with a cash element of more than £25,000 under its plans.
The remainder of the bonuses, to be paid next month, will be in RBS shares, with a large proportion of them deferred or not paid at all if an employee leaves RBS within an agreed period, or if their area of the bank makes significant losses in the following two years.
Keep an eye open for those frothing over these bonuses. If you see the call that we should be like Obama then you can write off the commentator as a know nothing. For while this is not the same in each and every detail it\’s close enough for government work.