RBS CEO’s “obscene” bonus gets approved

<p>The Chief Executive Officer of RBS, Stephen Hester, has had his £7.7 million bonus approved by UK Financial Investments (UKFI), which manage the government’s bank assets.<br />Despite the approval being announced at the group’s AGM in Edinburgh yesterday, shareholders called the amount “obscene”, after the bank – which remains 83% owned by the taxpayer – recorded a loss of more than £1 billion.<br /><br />Hester and his team of eight will share a bonus and shares windfall of £28 million for the last financial year.<br /><br />Ton Powdrill, Head of Communications at advisory group Pirc, said 'the vote on remuneration is a bit of a non-event.' He said that the new long-term incentive plans – which award up to 400% of salary – were “excessive”, arguing that RBS pays above average for both its highest paid director and average executive salary.<br /><br />Hester has defended his bonus in public, arguing that it is below average for the industry.</p><p> </p>

RBS CEO’s “obscene” bonus gets approved

The Chief Executive Officer of RBS, Stephen Hester, has had his £7.7 million bonus approved by UK Financial Investments (UKFI), which manage...

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