Goldman Sachs was tonight forced to defend its decision to award about 80 of its senior bankers free shares worth millions of pounds. The bank said the handouts were essential to prevent top dealmakers from defecting to rivals, following a tax on bonuses imposed by the former Labour government.
Goldman argued it had capped compensation for its partners at £1m in 2009 to minimise its bank tax payroll liability, but that competitors shelled out much larger payments. Their generosity had persuaded several of its top executives to take up positions with other banks.
A Goldman insider said: "We didn't want to lose anymore of our top people; you could call the payments an unintended consequence of Labour's bonus tax." More...
Don't miss:
No comments:
Post a Comment