John has expressed his dismay at the bonuses due to be paid out to senior RBS bankers this week. The bonuses from the 81% publically owned bank could reach as much as £607 million despite losses at the bank rising to £5.2 billion.
The remuneration report was approved by 99% of the shareholders who attended the Bank’s AGM this week. The amount of bonuses for RBS’ investment bankers this amounted to £215 million, a little over a third of all bonuses. The total amount of bonuses paid out has fallen from £789 million from the previous year.
A few days after the post RBS announced that 1400 jobs would be lost few days later. John expressed his disgust at this move.
Commenting on the bonuses John said:
“Whilst I accept that existing terms and conditions of employment, including bonuses, should be honoured, the banking landscape has substantially changed as should the payment of obscene bonuses. That RBS is still 81% owned by the tax-payer, still carrying enormous losses and paying out such sums is utterly unacceptable.
“I will be writing to the UK Business Secretary Vince Cable urging him to reign in such obscene sums of bonuses being paid while the public is still the major backer of RBS.
“That RBS would offer up these bonuses to senior bankers while cutting 1400 jobs is nothing short of callous, short-sighted and disgusting.