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Firms turn the spotlight on 'fat cat' earnings
Bill Condie10.07.08
Fat cat pay will be back in the spotlight today with business leaders meeting in London to discuss whether a cap should be put on bonuses for executives.
According to new research, most firms believe the bonus culture and executive pay has gone too far.
A survey by the London Chamber of Commerce and Industry (LCCI) found that 75% of London businesses think there should not be an upper limit on executive pay.
But even more, 95%, believe pay packages should be more closely tied to performance.
Business leaders will meet at the LCCI tonight to debate the topic of pay and bonuses. The gathering will be chaired by LCCI chief executive Colin Stanbridge, with a panel including journalist Polly Toynbee, Professor Igor Filatotchev from Cass Business School and Andrew Hawkins, chief executive of pollsters ComRes.
However, the LCCI is against the Government making rules about executive pay.
"This [survey] sends a clear signal to government that remuneration is strictly a matter between companies and the people they employ," Stanbridge said."
"The UK economy could be heading for recession, but limiting pay would not solve anything and would simply pile more pressure on companies."
