ABN Amro managers pay back bonuses
Some top managers at the Dutch branch of ABN Amro are handing back their bonuses for 2008, following a 'moral appeal' to do so by the bank's chairman, former finance minister Gerrit Zalm.
THE NETHERLANDS - The extra payments were promised when ABN Amro was taken over by a consortium of Fortis, the Royal Bank of Scotland and Santander.
The idea behind the generous bonuses was to keep vital staff in place despite the fact that their jobs were uncertain.
The Dutch branch of Fortis, together with its ABN Amro subsidiary, has since been nationalised. Mr Zalm argues that this means the executives' jobs are now safe and that it is logical they pay back the bonuses.
He says top managers who refuse to pay the money back have no future with the bank. Over the company as a whole, bonuses were cut last year to 65 percent of 2007 levels.
This morning, the company announced a dramatic fall in profits and warned of a possible overall loss for 2009.
Radio Netherlands / Expatica