Unions (Aslef)

daviesee

Nah. How many of the top dogs got their bonuses even when things went tits up?
Almost all, if not all. They can't have been hitting their targets then or if they were, the targets were way, way too low.

It was a way of avoiding tax and N.I.

They could manipulate the bonuses in a "tax efficient" manner.

Now the bonuses are getting targetted anyway they simply want the money up front.

rick_chasey

daviesee wrote:

Nah. How many of the top dogs got their bonuses even when things went tits up?
Almost all, if not all. They can't have been hitting their targets then or if they were, the targets were way, way too low.

It was a way of avoiding tax and N.I.

They could manipulate the bonuses in a "tax efficient" manner.

Now the bonuses are getting targetted anyway they simply want the money up front.

If I remember correctly, the bonus received then was bonus acquired in previous years that were deferred vested that year.

As I have explained above is how it works. You can deny it if you want, but that's how it is.

Ultimately, the roles these people are in allow them to generate an awful lot of money for their bank. I know the guys I deal with regularly have individual P&Ls in the millions. If you can generate that amount for a bank, you can see how the bank is willing to pay a large amount to you.


It's the nature of the free market.

And by the way, who wouldn't want their money upfront?

Some people are saying, though I don't think this will happen, that because a large proportion of bonus will have to be deferred, but the tax paid instantly, that some people will literally have to take out a loan to pay the tax bill. In all likelihood they'll change that so you pay the tax on the money when it vests.