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The Good Society
CAMPAIGN
High Pay Commission
PUBLICATION
In place of cuts
THINKPIECE
#59 Democracy & Terrorism
Government urged to intervene to protect front-line banking jobs
Today Compass, who this week renewed calls for a Banks Windfall Tax on ‘egregiously high' bonus payouts, has condemned plans announced by nationalised banks to sack thousands of front-line High Street banking staff.
It has been reported that there could be massive job losses at nationalised bank RBS, this despite the government announcing in the last 24 hours that nationalised banks will receive up to a further £40BN of public subsidy.
At this time of fragile economic recovery the government should be doing all it can to protect employment. This would help reduce unemployment and benefit costs, reduce poverty and help maintain tax revenues.
In recent weeks Compass has been campaigning for a Banks Windfall Tax on excessive bonuses to fund a Green New Deal, in order to create 100,000s of new jobs for the future; coupled with the establishment of a High Pay Commission to explore how excessive pay has affected economic stability and long-term economic performance.
Gavin Hayes, General Secretary of Compass said: "It is surely a national scandal that on the same day that it's announced we the tax-payer will further bailout nationalised banks to the tune of an additional £40BN, RBS are threatening to sack thousands of front-line High Street banking staff, if our money is not being spent on keeping people in their jobs then exactly where is it all going? As a majority shareholder, as well as enforcing a bonus ban, the government should be intervening and demanding that these jobs are protected as part of any additional bailout. It is right that the government does all it can to protect jobs in the recession and intervenes in publicly owned banks for this purpose. The alternative will only result in more families in poverty.
The financial crash caused by the most highly paid in our society is once again hurting ordinary workers, we need a High Pay Commission to ensure recklessness at the top doesn't lead to pain at the bottom ever again.
Furthermore we welcome Sir David Walker's comments today in which he branded bank bonuses as ‘egregiously high' - it's exactly for this reason that we should now impose a windfall tax for the short term whilst at the same time establish a High Pay Commission to deal with the excessive pay and bonus culture"
For further comment/more information call Gavin on 07900 195591
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Comments
on 03 November 2009, 10:25:27 PM
Another point, the signing of the Lisbon Treaty today is a sad day for the Labour Party and a sad day for Britain. Refusing the paople of the United Kingdom a referendum on Europe has sealed Labour's fate. You can bail out now David. Individualism?
Simon Mann will open Pandoras Box on Ministers.
Science versus an ex postal union leader. Who knows best?
on 03 November 2009, 8:06:08 PM
How long have I tracked his glittering
career in Education,his informed hits
on people like Estelle Morris who
actually knew a lot about the sector.
The pre dawn extra classes for children
who had failed to reach average NC
targets;with scripts timed to the second
prepared in the ministry by civil servants.
All long abandoned now,naturally.
Like Stromberg he is now tasked with
building a new labour utopia under
Straits of Magellan.Transport is just a ruse.
on 03 November 2009, 6:19:14 PM
The Prime Minister intervening and passing a rather ironic comment on the row over the sacking of the drugs advisor.
Lord Adonis - Policy Advisor on Transport and former Education Advisor. Unaccountable and not elected
Lord Mandelson - Unaccountable and unelected. Advises the Prime Minister on a Business portfolio or does he make decisions
Lord Darsai = Former Health Advisor and unelected
Policy advisors are now appointed Peers by Brown.
So policy advisors advise then become peers, the Ministers decide whether their advice is good enough to make a decision. Brown then decide to appoint unelected and unaccountable Peers to sit alongside Ministers in the Cabinet. Right, lets see, they no longer advise but are in a position to make decisions based on collect responsiblity. They still remain unaccountable to the people (they don't serve) and unelected and reside alongside the Ministers who are accountable within the framework of the Core Executive and decide to advise those who are not allowed to make decisions not to advise and but only make decisions when the Ministers and Gordon Brown say so
So that's clear then, The Ministers can now sack each other
Gordon Brown get a grip of your Government and the Labour Party That is my advice. Now make the decision
on 03 November 2009, 4:03:13 PM
Also super zombie banks do require to be broken up to provide competition, pretty much like Vince Cable and Will Hutton have been advocating. However ordinary banking workers should not have to be sacrificed to achieve that. This looks like a free market answer to a recession, where unemployment sky rockets. If our taxes are bailing out these institutions, and also providing a fiscal stimulus. Surely part of this is to protect jobs in any sector of the economy including banking. Most of the profiteering gamblers who caused the collapse are not only in jobs, but looking to collect bonuses again. It was always 50/50 if new labour could really stand up to the bankers. The odds of that happening now unfortunately seem to be increasing against.
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