In the financial sector, the payment of employees. After the financial crisis that followed the subprime crisis, there was a call for compensation to be based on the risk taken and the sustained success of the business. In addition, business failures should also be taken into account. – In April 2009, the Financial Stability Board (FSB) published detailed guidelines (Principles for Sound Compensation Practices). According to these, promised bonus payments may only be permitted for a maximum of one year. Companies should also establish a compensation committee to review existing salary guidelines on an ongoing basis. In the case of insurance companies, compensation may not be based on new business or total premium income. In Germany, a number of large institutions and insurance companies committed themselves to implementing the Financial Stability Board’s guidelines immediately. On July 7, 2010, the European Parliament adopted binding regulations that are broadly based on the FSB’s principles. Then, in October 2010, the Institutional Remuneration Regulation, which implements European requirements, came into force. – See incentive system, bank scolding, bonus, bonus system, handshake, golden, Instituts-Vergütungsverordnung, million grave, employee accountability, moral hazard, premium, reimbursement, sleeping money, remuneration, remuneration system, appropriate, insurance remuneration regulation. Executive Board compensation, loss absorption, personal. – Cf. BaFin’s 2009 Annual Report, pp. 122 ff. (general and special requirements for compensation systems), p. 252 (the supervisory authority itself distributes generous bonuses to employees), BaFin’s 2010 Annual Report, p. 85 (the Instituts-Vergütungsverordnung (Remuneration Ordinance for Institutions) is intended to exclude remuneration systems that are harmful to financial stability), p. 132 ff. (basic and special requirements for remuneration systems), BaFin Annual Report 2013, p. 72 f. (new legal requirements since the beginning of 2014), p. 106 (deficiencies in the audit of remuneration systems).

Attention: The financial encyclopedia is protected by copyright and may only be used for private purposes without express consent!
University Professor Dr. Gerhard Merk, Dipl.rer.pol., Dipl.rer.oec.
Professor Dr. Eckehard Krah, Dipl.rer.pol.
E-mail address: info@ekrah.com
https://de.wikipedia.org/wiki/Gerhard_Ernst_Merk
https://www.jung-stilling-gesellschaft.de/merk/
https://www.gerhardmerk.de/

Kommentare geschlossen.