iPlayer Radio What's New?
Image for Battling Boardroom Pay

Listen now 28 mins

Listen in pop-out player

Battling Boardroom Pay

Duration:
28 minutes
First broadcast:
Thursday 09 February 2012

Battling Boardroom Pay

The boss of RBS, Stephen Hester eventually succumbed to political pressure to waive his bonus at the taxpayer backed bank, as has Network Rail chief executive Sir David Higgins. But will the proposals from Business Secretary Vince Cable to curb excessive pay packages in Britain's boardrooms and bring in a fairer system really work?

Max Flint examines why generous increases have been awarded to CEOs even when company performance has been poor. Former Thomas Cook boss failed to stop the business share price falling through the floor, but was richly rewarded.

The Report explores how City pay is continually ratcheted up, signed off by a network of former executives sitting on remuneration committees - often unwilling to rock the corporate boat. The Government is promising shareholders the power to veto pay increases, giving them the responsibility to reduce inequality, but how often will it be in their interests to act?

Max Flint asks whether the Prime Minister can deliver on his promise to get tough on boardroom pay.

Producer: Rob Cave.

Broadcasts

Featured in...

The Best of The Report

The Best of The Report

Explore the best investigations from The Report team

Free download

  1. Image for The Report

    The Report

    Uncovering the real stories behind the news. Simon Cox and fellow reporters delve beneath the…

BBC © 2014 The BBC is not responsible for the content of external sites. Read more.

This page is best viewed in an up-to-date web browser with style sheets (CSS) enabled. While you will be able to view the content of this page in your current browser, you will not be able to get the full visual experience. Please consider upgrading your browser software or enabling style sheets (CSS) if you are able to do so.

Added. Check out your playlist Dismiss