| |
| >> Back to the article | |
| Nov 13, 2008 | |
|
'Exec salaries must change'
|
|
| CANBERRA (Australia) - REWARDING senior finance executives with big salaries for taking big risks was 'dumb,' Australia's prime minister said on Thursday as he left for an international leaders' summit to address the global financial crisis.
Prime Minister Kevin Rudd said he would raise the issue of salaries and other benefits paid to banking and other financial institution executives when the leaders of 20 major economies meet this weekend in Washington. 'I couldn't predict now what the outcome will be, but I do detect across a whole range of governments (that) there's a simple view that with the system as it was - it cannot be sustained into the future,' he told Australian Broadcasting Corp. television in an interview recorded before he flew from Canberra, the Australian capital. 'You can't have a rewards system which says to people: maximise your risks and we'll maximise your pay check,' he said. 'That's just dumb, it's wrong and it's bad.' Last month, Mr Rudd accused Wall Street of 'obscene failures' in corporate governance and blamed 'extreme capitalism' for the financial crisis that is gripping the world. He said on Thursday that he believed that developing countries including China and India should be included in finding global solutions to the crisis so the so-called G20 was 'not a bad vehicle for dealing with these challenges for the future.' 'But it will depend entirely on how countries as diverse as Brazil, India, Germany, Japan, Indonesia and Australia fashion a common outcome - that will be the test of leadership and this will be tough,' Mr Rudd said. -- AP | |
| Copyright © 2007 Singapore Press Holdings. All rights reserved. Privacy Statement & Condition of Access |
![]() |
|
|
|
Best viewed at 1152x864 resolution with IE 6.0 or
FireFox 2.0 and above Copyright © 2008 Singapore Press Holdings Ltd. Co.
Regn No. 198402868E | Privacy Statement
| Terms & Conditions
|