Personnel Today
  • Home
    • All PT content
    • Advertise
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Equality, diversity and inclusion
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Maternity & paternity
    • Shared parental leave
    • Redundancy
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
    • OHW Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • XpertHR
    • Learn more
    • Products
    • Pricing
    • Free trial
    • Subscribe
    • XpertHR USA
  • Webinars
  • OHW+

Personnel Today

Register
Log in
Personnel Today
  • Home
    • All PT content
    • Advertise
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Equality, diversity and inclusion
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Maternity & paternity
    • Shared parental leave
    • Redundancy
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
    • OHW Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • XpertHR
    • Learn more
    • Products
    • Pricing
    • Free trial
    • Subscribe
    • XpertHR USA
  • Webinars
  • OHW+

Economics, government & businessLatest NewsBusiness performanceBonusesPay & benefits

Bonus cuts mark Barclays 14% fall in pre-tax profits

by Guy Logan 10 Feb 2009
by Guy Logan 10 Feb 2009

Barclays has announced it is halving bonuses for 2008 as the government rejects calls to cap bank bonuses.

The banking giant posted a 14% drop in pre-tax annual profits to £6.08bn, and its chief executive John Varley said bonuses would be down 48% on 2007, with many paid in deferred shares.

“It is important to make the distinction between those banks which have made a profit and those which have not when it comes to bonuses,” Varley said.

“This is clearly a very important subject and I absolutely understand why it has got the attention of the world.”

He added that main board directors would also forgo their bonuses.

Meanwhile, ministers have rejected calls to cap company bonuses following US president Barack Obama’s announcement to prevent bank executive’s bonuses reaching more than $50,000 (£33,000).

Instead, ministers said they would use the government’s stake in the Royal Bank of Scotland and Lloyds Banking Group to make sure bank bosses would not be rewarded for failure.

An independent review announced by the Treasury will investigate pay structures and the incentivising of risks in banks, and is expected to run for at least six months.

However, the eventual findings will reportedly not affect bonuses handed out for 2008, and may also miss some awarded to employees for 2009.

Yvette Cooper, chief secretary to the Treasury, said nevertheless the review would be effective in ending the cycle of the bonus culture that encouraged risk-taking.

“We’ve already ruled out the cash bonuses for the boards of the banks who’ve received government help, and the starting point has got to be that City bankers, whose decisions led to massive losses and helped cause the credit crunch, should not be getting any bonuses this year, period,” she said.

“There’s an issue about we’ve got to deal with this year’s bonuses but … it’s not just about the banks that have received funding from the government, there’s also this wider issue about the way in which the bonus culture seems to have increased the risks that the banks were taking across the board.”

Avatar
Guy Logan

previous post
200 more apprenticeships planned for Ministry of Defence engineers
next post
Reward strategies should not be derailed by discrimination risks

You may also like

Employment law changes for 2022 and beyond: update...

1 Jul 2022

BT workers vote for strike action over pay

1 Jul 2022

Chief financial officers now more involved in HR

1 Jul 2022

Top 10 HR questions June 2022: Former employees

1 Jul 2022

Pay all care workers a £10.50 hourly minimum...

30 Jun 2022

Royal Mail managers vote to strike over restructure

30 Jun 2022

Give wellbeing a board seat: Prof Sir Cary...

30 Jun 2022

One in five workplaces lack LGBT support policies

30 Jun 2022

Christian doctor loses transgender pronoun case, but beliefs...

29 Jun 2022

New chief workforce officer at NHS England

29 Jun 2022
  • NSPCC revamps its learning strategy with child wellbeing at its heart PROMOTED | The NSPCC’s mission is to prevent abuse and neglect...Read more
  • Diversity versus inclusion: Why the difference matters PROMOTED | It’s possible for an environment to be diverse, but not inclusive...Read more
  • Five steps for organisations across the globe to become more skills-driven PROMOTED | The shift in the world of work has been felt across the globe...Read more
  • The future of workforce development PROMOTED | Northumbria University and partners share insight...Read more

Personnel Today Jobs
 

Search Jobs

PERSONNEL TODAY

About us
Contact us
Browse all HR topics
Email newsletters
Content feeds
Cookies policy
Privacy policy
Terms and conditions

JOBS

Personnel Today Jobs
Post a job
Why advertise with us?

EVENTS & PRODUCTS

The Personnel Today Awards
The RAD Awards
Employee Benefits
Forum for Expatriate Management
OHW+
Whatmedia

ADVERTISING & PR

Advertising opportunities
Features list 2022

  • Facebook
  • Twitter
  • Instagram
  • Linkedin


© 2011 - 2022 DVV Media International Ltd

Personnel Today
  • Home
    • All PT content
    • Advertise
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Equality, diversity and inclusion
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Maternity & paternity
    • Shared parental leave
    • Redundancy
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
    • OHW Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • XpertHR
    • Learn more
    • Products
    • Pricing
    • Free trial
    • Subscribe
    • XpertHR USA
  • Webinars
  • OHW+