You are here: Home - Investing -

Diamond agrees to give up £20m bonus

0
Written by:
11/07/2012
Barclays former chief executive Bob Diamond has opted to give up a deferred bonus owed to him from his former employer, worth up to £20m.

Speaking at a Treasury Select Committee (TSC) hearing, Barclays’ chairman Marcus Agius said Diamond (pictured) – who resigned from the bank last week – has opted to forgo any deferred bonus he may be owed.

“Shortly before I came here we received a notice about what is going to happen,” Agius told MPs.

“Bob Diamond has voluntarily decided to forgo any deferred bonuses.”

Agius said the most Diamond would have been due under the scheme was £20m.

A stock exchange announcement released by Barclays shortly afterwards said: “Mr Diamond has voluntarily offered to waive all of his unvested deferred bonus awards and long-term incentive share awards. This is in addition to his previous decision to forgo any consideration for an annual bonus this year.

“The board has accepted this offer, and all of Mr Diamond’s outstanding unvested deferred bonus awards and long-term incentives will lapse, with no compensation made in respect of the lapsed awards.

“The board has asked Mr Diamond to support the transition to the new chief executive as necessary, and he has agreed. Consistent with his contract of employment, Mr Diamond will receive up to 12 months’ salary, pension allowance and other benefits; and he has agreed to forgo his contractual entitlement to tax equalisation.

“The board has agreed with Mr Diamond that he will not receive any future bonus or incentive awards; nor will he receive any further compensation payment in connection with the termination of his employment.”

Agius said in the statement that Diamond had ‘no personal culpability’, but recognises more than anyone the negative attention generated by certain traders, and has taken characteristically strong action to address that.

Diamond himself said: “For the past 16 years I have had the honour of working at Barclays. The wrongful actions of a relative few should not detract from the outstanding work that Barclays employees carry out each day on behalf of clients and customers around the world. It is my hope that my decision to step down and today’s agreement on my remuneration will help close this chapter and allow Barclays to move forward and prosper.”

Tag Box

Debt

Pension

Spending

Financial fitness

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Are you a first-time buyer looking for a mortgage?

Look no further, get the help you need by searching for your perfect mortgage

Which ISA is right for you? A round up of the six products available in 2017

From cash to innovative finance to lifetime, here's our guide to the ISA products available to savers this yea...

Guide to buy-to-let tax changes

In late 2015, former Chancellor George Osborne announced a range of  tax measures aimed at landlords, which t...

A guide to switching energy provider

All you need to know about switching from one energy supplier to another.

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Five fund tips for a 0.25% interest rate environment

With interest rates stuck at a record low 0.25% and expectations rates could fall to close to zero, here are ...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

Investing your money

Alliance Trust Plc gives you smart insight into how to invest your money

Money Tips of the Week

Read previous post:
2190697-money-houses
Housing market struggles in June – RICS

The housing market continued to stumble in June as interest from potential buyers fell away, according to the latest RICS...

Close