Sunday, 15 February 2009

Departing from the rule of law?

Are contracts worth anything?

I for one am extremely concerned when the party that will most likely form the next government are sending out nonsense like this-
"If senior traders and managers claim that they are contractually entitled to big cash bonuses, RBS should refuse to pay them, and fight them in court if necessary. A bonus is a payment given when the company does well. RBS would be insolvent without taxpayer support, and the company is projecting an £8 billion loss. Paying bonuses now would make a mockery of the system, and RBS should challenge the contracts on that basis."

Contracts are now (or will be after the next General Election) subject to the arbitrary whim of government.

1 comment:

TBR said...

Yes I have to admit all this talk of banning bonuses that employers are contractually entitled to is a little silly.

Also it assumes everyone in the business failed.