Banks to reveal workers earning £1m

City banks

A new report suggests that UK banks should be forced to publicly disclose the number of employees who earn more than GBP£1 million a year. The government-commissioned Walker Review, led by revered British banker Sir David Walker, also said non-executive directors needed more power to monitor banks' risk taking and pay deals.

According to BBC News, the government will now move to implement Sir David's proposals. He told the BBC that calls to name individuals who were earning that sum were not supported "by a shred of evidence," and that there were well over a thousand on that salary level within the City.

Sir David's proposals come just weeks after City minister Lord Myners had suggested that banks should have to reveal the identities of their 20 best-paid staff outside the boardroom.

Profound anger

"We're going to be funding the problems generated by the banks for years to come," Mr Walker's report read. "It's our children and grandchildren who are going to have to pay these costs so the basis for the anger and frustration is profound."

According to reports, the Walker Review also recommends that FTSE 100-listed banks and the largest building societies should disclose in bands the number of "high end" employees, including executive board members. It is hoped that these bands would identify the number of people taking home GBP£1 million to GBP£2.5 million, GBP£2.5 million to GBP£5 million, and GBP£5 million and above.

While the recommendations of the report seem go a long way, Unite, the UK's largest union believes it doesn't go far enough. In fact, in a statement from Unite's nation office, Rob McGregor warned, "There is still a long way to go before we see the changes in culture and behaviour required in the boardroom of our financial services institutions. Simply tinkering on the edges of this industry is totally futile."

Overall, however, the Walker Review has been met by praise. Richard Lambert, director general of the Confederation of British Industries (CBI) said that Sir David has "set out a sensible package of proposals."

In particular, Lambert commented that the CBI welcomed "the emphasis on ensuring balanced boards which are also equipped with the right skills, and on ensuring investors are active and engaged in scrutinising business strategy."

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