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The Brexit Thread
- Thread starter Matt N
- Start date
OMG did you seriously believe what you wrote there or was that some kind of sarcasm?
Every sales person worth anything in this country receives commission or a bonus.
I hardly know anyone that doesn’t receive a bonus from work at some point so it’s not just big business and banking.
Alsty
TS Member
- Favourite Ride
- Fury 325
These were measures bought in because of the financial crisis of 2008 as this bonus culture was causing bankers to prioritise short term profits over long term stability. Yes bonuses aren't uncommon in other sectors but we're talking about bonuses over 100% of salary here.
Quite simply, big businesses cannot be trusted to do the right thing hence the need to regulate.
Actually it’s the new capital rules brought in after 2008 that stops the bankers taking the risks that caused the banking crash again.
Financial services is one of our biggest industries and as long as these bonuses are taxed correctly then it will actually bring a lot of money into the exchequer.
Financial services is one of our biggest industries and as long as these bonuses are taxed correctly then it will actually bring a lot of money into the exchequer.
My bonus is more than 10%, any less isn’t worth getting out of bed for.
Edit: obviously my comment was a little tongue in cheek but there is actually a serious point here.
Average of 6.2% I’m surprised at that, I would of thought it would of been a lot higher than that.
In sales jobs it’s not unusual to “earn” more than half of your salary through commissions or bonuses.
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Matt.GC
TS Member
The Minimum Wage Act 1998. Just in case you missed it. Only been law for a mere 24 years.
Perhaps we should just let people get massive bonuses for preying on others and manipulating the system? Loosely regulated capitalism has never hurt anyone has it?
If my memory serves me right, rewarding such behaviour with massive bonuses had no part to play in the 2008 financial crash and it definitely didn't cost taxpayers £billions to prop up. It worked in the 80's too as far as I can recall which was a great time where industry flourished, poverty and homelessness were eliminated and the everyone was far happier.
I’d be interested to know the alternative of letting people earn high salaries and then paying tax on them?
By limiting salaries the government is effectively limiting the tax intake, I really don’t see the problem with it unless you are just jealous.
The banking crash was caused by lack of regulation on capital to risk taking, not by the banker bonuses.
The reason the cap on bonuses was brought in was because the banks were effectively public owned at that point so huge bonuses were not seen as palatable.
By limiting salaries the government is effectively limiting the tax intake, I really don’t see the problem with it unless you are just jealous.
The banking crash was caused by lack of regulation on capital to risk taking, not by the banker bonuses.
The reason the cap on bonuses was brought in was because the banks were effectively public owned at that point so huge bonuses were not seen as palatable.
jon81uk
TS Member
They aren’t limiting salaries, just bonuses.
The limit on bonuses is a form of regulation of risk taking, they were taking more risks to try and earn more bonus.
Whereas commission on retail sales is very different, the employee gets a % of the sale, there is less risk as they are working with an actual customer.
Matt.GC
TS Member
The banking crash was far more complicated than that and you know it. Almost all of the incentives behind the risks being taken was bonuses. Bonuses some of them (not all of them) paid tax on which didn't even make a dent in the amount spent baling them out. But I suspect deep down, as anything other than an unintelligent person you knew this also, you're just being selective with your words to push your narrative.
From banks to energy companies, £billions of taxpayers cash has been spent propping up broken sectors that are doing harm to general populace of the country and our economy. A couple of city slicker high rollers having a few bonuses and by some miracle paying all of their income tax on it, is a drop in the ocean.
Other than a few bankers here and there, no one has a salary cap in this country. If they don't like it, then wouldn't right wingers normally be suggesting they "get on their bike" and look for opportunities to get rich elsewhere? That's what the miners and steel workers were always told. You are allowed to earn whatever you want in this country and you always have been but you wouldn't think it with the amount of energy some Tories put in to trying to solve the plight of the rich.
Of course it’s not straightforward but the banking crisis was largely down to deregulation under the last Labour government not just banker bonuses.
I’m not blaming labour by the way before you jump on me for that, I’m sure the Tories also did their fair share before 1997.
The financial services sector is one of the UK’s biggest industries, it certainly not just a few bankers that are a drop in the ocean.
For those that don’t wish to read it approximately 8% of the total GDP and something like £170billion per year.
Tax intake approx £75 billion and 10% of all taxes collected.
Whilst I agree it’s not popular with those on low wages I get what the idea is here, attract more investment into one of our biggest industries to try and grow the economy, less face it, since 2008 the economy has hardly seen any growth.
In other news I also heard on the radio today that one of the other ideas to get the economy growing was to scrap the 48 hour maximum week, I’m not getting into an argument on that one but for me I’d love to only work 48 hours per week so it won’t make a jot of difference to me.
jon81uk
TS Member
To be able to work more than 48 hours a week you would have had to sign a specific form stating you wanted to opt out of the maximum and you can give your employer seven days notice that you want to cancel the opt-out. You cannot be sacked for refusing to opt-out. So if you would love to only work 48 hours you are free to cancel the opt-out.
I could ask my boss but I have a feeling she would say no and I’d also be looking for a new home.
pluk
TS Member
When I go back to work Monday I start a run of 7 days at work that will total 84 hours if I get off on time every day, which I probably won't... I don't have any choice in this. Admittedly my employment is not typical and I do not have a lot of the rights afforded to others.
I think a lot of those working over 48 hours will be self employed and having to to make it work. And while the working time regulations exist they are clearly widely ignored and abused across all sorts if industries. No, no, of course we aren't getting rid of you because you insist in adhering to maximum working hours, it's because (insert made up but unprovable reason here)...
Erosion of workers rights is generally a bad thing, but I'm sure there are also some arbitrarily rules which restricts some peoples choices. Zero hours is one that always comes up as evil and should be banned, but for my wife who fits her shifts around my irregular and unpredictable pattern they are a godsend. She could never get a fixed hours contract we could both work.
jon81uk
TS Member
You don't need to ask, you submit in writing that you are cancelling your opt-out, needs seven days notice unless you agreed to give more notice (up to three months) in the original written opt-out. They cannot sack you for that reason, so you could then go to tribunal. And personally if I was working for a company which might behave like that I wouldn't want to be employed by then anyway. https://www.gov.uk/maximum-weekly-working-hours/weekly-maximum-working-hours-and-opting-outI could ask my boss but I have a feeling she would say no and I’d also be looking for a new home.
Of course if you are in the police, armed forces or other similar jobs the maximum working hours doesn't apply, but I expect you knew that when choosing that career. https://www.gov.uk/maximum-weekly-working-hours