Steven Hester's Bonus
Posted by: Calum F on 01 February 2012
I would have paid the new RBS guy his £ 1M bonus. He has been charged with turning around RBS and if successful in returning even a small part of the BILLIONS we have locked up is a million not pocket change ? Far too much hysteria for me about bonuses but good that Goodwin is no longer Sir....
Yeah, the poor bloke only has a piffling wage of £1.2m to get by on, how's he supposed to live on that?
He has also missed most of his performance targets. He didn't even deserve it in the first place.
He has also missed most of his performance targets.
How do you know this?
He has also missed most of his performance targets.
I think you will find he hit 60% objectives & his share issue proposed was 60% - per contract
........only has a piffling wage of £1.2m to get by on
You have missed the opportunity of a few pounds Debs
He has recieved £11m in shares & cash since he started in October 2008
But shares is not all cash in the bank, he needs to hit his objectives to enable him to convert them to cash.
The £11m includes 10.4m RBS shares worth £6.5m at the time, but the eventual value ended up at £4m.
In 2009 he was awarded 4.8m shares & a further 9.5m share options (to buy) at 37p in 2012 with objective conditions. Last week the bank said it did not expect this award to mature in 2012. i.e. zero value.
Shares awarded in 2010 & 2011 totalled 18.7m, these are worth around £4.8m at the current share price of 26p. He will have to hit performance targets to enable these awards to convert to cash in 2013 & 2014.
This guy was a high flying acheiver when he was lured into RBS
His salary is typical & required to atrach these people
IMO his bonuses in shares tied into performance objectives is also typical but tougher than some of those from the past. In short the contract is typical of people at that level & was approved by Brown/Darling & the RBS board.
........only has a piffling wage of £1.2m to get by on
You have missed the opportunity of a few pounds Debs
Mike,
i haven't missed anything at all, and you don't seem to recognise sarcasm...
i am well aware of how totally bent up corrupt the system is, and i am perfectly capable of cutting and pasting the criminal evidence just as well as you can if i really feel the need.
His basic wage is an outrageous £1.2m and that's far too much for someone in his job,
he should be on a generous basic wage of around £75k per annum tops, no bonuses, no shares, no tax avoidance, no corruption, just a kick up the backside if he complains, or put him in a ranker private uniform and sent him to Afghanistan.
Debs
Debs, me missing sarcasm, you cannot be serious.
Knowing your usual style of responses on politics & subjects regarding the money gabbing classes, not that I necessarily agree with them, I just noticed you seem to be treading lightly on this subject, for you anyhow. But it seems I might have rekindled some of the fire.
My issue with this affair is it the tip of a large iceberg, & in some respects I feel sorry for Hester in that he had a Government/RBS approved package that public & political pressure has deprived him of - yes yes the numbers might be outrageous but it is the going rate for that level of bank CEO.
The point I was trying to make is that his package is not all £1.2m + millions of shares = cash
Shares will only be cash if & when he meets his objectives
The values are obscene/outrageous or whatever adjective suits you, but compared to the numbers he needs to achieve with the bank to realise that cash, its something less than 0.1%.
Anyhow, I am sure that this case & what is to follow in the next months will further add pressure to reduce these mad salary packages, but £75K p.a., don't think so.
I think however much I am in agreement with Debs, £75k is a ridiculously low figure, I'm sure there are many here that earn or at least are paid, much more than that.
I do agree that these mega bucks deals are a great shame, and don't reflect the "difficulty" of the job.
Trail out the "we have to pay these wages to attract the right people" bollox.
So you only want to employ some one who can screw the most out of you then?
I'm sure he'll get his bonus some other way
75K? Sorry, but get real or move to a non corrupt communist country. Oops, oxymoron there.
Are you Arthur Scargill in disguise?
You do realise that you are on a rich people's forum here and you do see the irony in that?
Jim
Debs,
Do you mean that some people actually do earn as little as £75k pa ?
Really?
Cheers
Don
75K? Sorry, but get real or move to a non corrupt communist country. Oops, oxymoron there.
Are you Arthur Scargill in disguise?
You do realise that you are on a rich people's forum here and you do see the irony in that?
Jim
So what you mean to say is; anyone who complains about the obscenely greedy bankers is a communist or Arthur Scargill?
Says more about you than me.
Also, i'm only writing my views here in Padded Cell hosted by naim auido,
i've never been on any rich people's forums, you really are mistaken.
Debs
He has only done what he was paid to do, he deserves no bonus. Executives are two a penny. No bankers should get a bonus until their debt is repaid; obviously only applies to banks that were saved by the tax payer.
Fred the Shred should never have been made a Sir, good that it has been removed, but he should never have been given a pension. Knighthoods should only be given to people who do something valuable, not businessmen for just doing the job they get paid to do.
I mean what next Sir Gordon Brown ......
I think however much I am in agreement with Debs, £75k is a ridiculously low figure, I'm sure there are many here that earn or at least are paid, much more than that.
I do agree that these mega bucks deals are a great shame, and don't reflect the "difficulty" of the job.
Trail out the "we have to pay these wages to attract the right people" bollox.
So you only want to employ some one who can screw the most out of you then?
+1
So he only hit 60% of his objectives, wonder if I could get a bonus for only doIng just over half my work.
Been a good week so far .....
Minister resigns over perverting the course of justice charge
Fred the Shred gets de-knighted
Banker(s) to give up bonus
I think the "we're all in this together" message is coming back to haunt the movers and shakers.
As for the bonuses and pay, the problem is that these people are running companies that are considered "too big to fail". No matter who/how they screw up, the taxpayer bails them out. When at such time all the money has been paid back then, and only then, should they be paid the going rate. By the way, the "going rate" is decided by the chief exec's in the first place, who sit in on each others renumeration boards.
And don't get me started on the Vodaphone/HMRC tax shenanigans
75K? Sorry, but get real or move to a non corrupt communist country. Oops, oxymoron there.
Are you Arthur Scargill in disguise?
You do realise that you are on a rich people's forum here and you do see the irony in that?
Jim
I thought this was an open forum. Not just for the rich! Some of us have to save for many years to afford used equipment. I work long hard hours in a tough physically and mentally damanding job with lots of pressure to hit targets but I'll never earn close to £75k. That seems like a fortune to me and is way above the national average wage. This isn't about communism but more to do with putting wages into perspective.
Take a look at what Bob Crow allegedly earns.
Become a London Underground Driver and earn getting close to what you think Hester should get.
Take a look at what Bob Crow allegedly earns.
Become a London Underground Driver and earn getting close to what you think Hester should get.
You don't think actually having peoples lives in your hands isn't reason enough? Allegedly
- The government, on behalf of the taxpayer, should invite applicants for the post of CEO of each failed bank that was rescued by the taxpayer.
- Government should state what it wants each candidate to achieve - e.g. recovery of taxpayer's investment plus interest in a given timescale or whatever.
- Applicants should state their required terms and conditions.
- Government should place each job in the hands of the least expensive candidate they consider capable of meeting the Government's specification.
Government could be replaced in above scenario by Debs - all in agreement say "aye!"
Cheers
Don
Take a look at what Bob Crow allegedly earns.
Become a London Underground Driver and earn getting close to what you think Hester should get.
Bob Crow is trade union leader (of RMT) so whatever he gets paid will come out of the subs of union membership.
It’s up the those members to object if they believe he’s overpaid.
Bankers however, are robbers who help themselves to a huge fortune of money from their own bank coffers (legalised criminality) and in the case of the bailed out banks it’s actually hard earned tax payers money they’re directly robbing.
I don't care what job a person does, nobody, repeat, nobody, deserves to earn that amount of money.
steve
I wouldn't get out of bed for £75,000.
I would!
Only twice and I'd own a house!
ATB from George
It’s up the those members to object if they believe he’s overpaid.
Bob Crow is a huge drag on the modernisation of the London Underground, which cries out for being brought into the 21st Century . Crow, who has backing from the militant wing of the RMT (which comprises something between one quarter and one third of the membership), does not deserve support from anyone interested in bringing London's transport infrastructure up to date.
Oh, and he lives in a council house, despite trousering over £150,000 pa!
[To Debs]
...
You do realise that you are on a rich people's forum here and you do see the irony in that?
Jim
Dear Jim,
It is Naim's Forum. If it were only a rich person's forum, then I would definitely not be here. This is my modest system: PC [iTunes on Windows XP], budget DAC, Leak Troughline "3" mono VHF tuner, Nait 5i, and Quad ESL 57s. For the cost of that set, some would settle for a couple of Burndies, and a Hiline! And it stretched the budget quite a bit! But I suppose that in world terms I am wealthy beyond the wildest dreams of billions - just like Debs is!
ATB from George