Don't miss

Replay


LATEST SHOWS

DEBATE

Soft on Smacking? France slammed for not banning corporal punishment (part 2)

Read more

FOCUS

French Muslims refuse to be scapegoats for extremists

Read more

IN THE PAPERS

'Obama needs to provide real answers to Netanyahu's arguments'

Read more

IN THE PAPERS

Hollande: 'We have to tear voters away from the National Front'

Read more

FACE-OFF

French local elections: Far-right National Front in pole position

Read more

ENCORE!

Film Show: 'Citizen Four', 'The Circle' and 'Wolf Totem'

Read more

EYE ON AFRICA

Tangerine Dream: Afropolitan star Yemi Alade chats to FRANCE 24

Read more

MIDDLE EAST MATTERS

Iraq: Islamic State group's child soldiers

Read more

DEBATE

Netanyahu on Capitol Hill: Israeli PM calls for deal breaker with Iran (part 2)

Read more

Business France

Banks agree to cap trader bonuses

Latest update : 2009-02-07

Some of France's largest banks have reached an agreement with the financial market reculator, the banking comminssion and the treasury office on ways to rein in bonuses.

REUTERS - France's financial authorities have drawn up new guidelines governing the bonuses and salary structures of traders to curb excessive payouts and overly-risky conduct, newspaper Le Monde said.

Some of the country's largest banks had reached agreement with financial market regulator Autorite des Marches Financiers (AMF), the Banking Commission and the treasury office on ways to rein in bonuses, it said in its Sunday/Monday edition.

According to a document obtained by Le Monde, the new code of conduct, to be submitted to Economy Minister Christine Lagarde in the coming days, would apply from this year but affect traders' bonuses from the beginning of 2010.

"It aims to moderate the weight of the variable portion of pay compared with the salary so that this does not encourage unreasonable risk taking," Le Monde said.

The government had forced banks to review bonus structures as part of the conditions it set for helping to shore up balance sheets in the face of the world's worst financial crisis in decades.

Date created : 2009-02-07

COMMENT(S)