UK limits bonuses at RBS
18-02-2009
British Finance Minister, Alistair Darling, has announced that the government is limiting bonuses paid out to staff by the part-nationalised Royal Bank of Scotland. "We want to see a cultural change where short-term bonuses are replaced with incentives for the long term," he said. Mr Darling said bonuses at RBS would be cut from the £2.5 billon paid last year to £340 million. There would be "no reward for people who have failed," he added. And bonuses will no longer be paid in cash, but in shares. The UK government owns 70 percent of the bank after pumping in £20 billion to save it from collapse last November.
