Another Bank gets it's bonuses at our expense.

chewmylegoff

Innys wrote: »

The simple point is, all net contributors to the tax system (and I am pretty sure I am not the only one), are not entitled to the same benefits that Halifax has received. Remember that most other Companies are also net contributors to the Brown regime.

If you add up all these contributions they far outweigh the value of Halifax's contributions. So, why should they be treated any more favourably in terms of whether they are entitled to a bonus than anyone else?

well this is about the separate issue of them getting the bailout in the first place. on the bonus issue there seems little point in me recycling my thoughts so you can disagree with them again.

chambta

People may be interested to know that clerical and 'appointed' RBS group staff will receive a 10% pay-rise backdated to January 1st in place of the former profit share.

In retail at least quarterly incentive bonuses remain unchanged and as far as I can work out will be paid in cash.

StevieJ

A person I know tells me that his partner and full dept, who worked for Hbos will not be receiving any bonus this year, I don't how widespread that is. They obviously didn't meet targets.

sabretoothtigger

Ironic thing is the dept that didnt meet targets and entrench hbos in debt it could not handle was probably helping save the company from collapse

HSBC is encouraging customers to pay off their mortgages early, its clearly been decided all this debt is a bad thing. Meeting targets = bad

Woby_Tide

It should also be considered that a bonus payout is cheaper than a payrise in a lot of circumstances. Payrises incur extra costs in NI/pensions etc. over and above what the same money would cost as a bonus hence a lot of companies have switched to a bonus in place of a payrise in teh current climate. In 12 months time they can again not give a payrise or a bonus. If they had given a payrise this year then they'd still have to be paying that extra amount in 12 months time. Paying it in a bonus now hasn;t committed them to future payouts.

StevieJ

Woby_Tide wrote: »

It should also be considered that a bonus payout is cheaper than a payrise in a lot of circumstances. Payrises incur extra costs in NI/pensions etc. over and above what the same money would cost as a bonus hence a lot of companies have switched to a bonus in place of a payrise in teh current climate. In 12 months time they can again not give a payrise or a bonus. If they had given a payrise this year then they'd still have to be paying that extra amount in 12 months time. Paying it in a bonus now hasn;t committed them to future payouts.

It is like a company doing buybacks instead of increasing dividends, they can stop when they want but reducing future dividends is difficult.

mrsnow101

Bonuses in HBOS are essentially split into a divisional, and personal element.

Front line staff, typically in branches & call centres usually have a much higher weighting towards their personal element – which makes sense considering they are basically sales roles. People may disagree with bonuses – but they are an essential tool for performance management within a sales environment. You can scream until your blue in the face about the fact that they get paid a salary to do a job – but the bottom line is, if an employee is told that if they sell 5 insurance policies in a given period of time, then every additional sale over and above this target would net them a £5 bonus – you would strive to sell as many as possible, giving that extra 10% effort. Its human nature, and is why bonus schemes are used throughout all sales environments – not just the banking sector!!

scousethife

Wish I could get a bonus

chewmylegoff

scousethife wrote: »

Wish I could get a bonus

get a job at a bank and your dream will come true.

Honest_Banker

I work for the Halifax and strongly believe that we SHOULD be entitled to our bonuses.

I agree that executives at top level who have made wrong strategic decisions should not be paid bonus, but staff at branch level who have exceeded their targets based on branch performance year on year should get their bonus.

Has anyone thought about the potential implications if staff bonuses are removed? There is growing support within the banking sector staff for possible strike action if their bonuses are taken away.

Where would this then leave the economy and the industry?