We can’t afford these payments to bankers
HEADLINES about the Croesus-like contractual payments now due to the senior bankers who failed to perform echoes all the hand-wringing hoo-hah over the double and triple pensions for retiring politicians last February.
The national financial position is unchanged – the till is empty. In all employment contracts with which I have been involved, payment has always been linked to a standard of performance.
That a major dereliction in governance, a neglect in oversight, occurred is plain. In those circumstances, the contracts of all those responsible are invalidated because a contract is a two-way street. Remuneration by one party is a consequence of contractual conformance by the other party.