EU bank agrees bankers’ bonus curbs
LONDON: European Union banking supervisors agreed on finalized mandatory guidelines for awarding bank bonuses saying key requirements can be "neutralized" for less risky firms and staff.
The Committee of European Banking Supervisors (CEBS) alarmed banks in October when it published the guidelines in draft form, as they went beyond what world leaders at the Group of 20 countries agreed.
"CEBS has considered the feedback received and has revised its initial proposal in order to address the main issues and concerns raised, namely those related to proportionality, equity-linked and other instruments as part of variable remuneration, distribution of such instruments and retention periods," the committee said in a statement. The guidelines, which apply from January 2011 and will cover the 2010 bonus round. -PB News