Book says bonuses fail

Former City insurance broker David Bolchover says in a book called Paycheck: Are Top Earners Really Worth It? that western company bonuses are not worth it, the Times reports.

“In almost 15 years as CEO of Lehman Brothers before the company went bust, Richard Fuld took home almost $500m,” he says. “In contrast, the head of the world’s largest bank, in China, which remained highly profitable through the financial crisis in 2008, earned less than $250,000 that year.

“What is so special about Western bank chiefs to justify such exorbitant salaries? Nothing.”