The great rip-off

Posted on

Consultants have leading part in great pay rip-off|Nils Pratley | Business | guardian.co.uk .

[Pay c]onsultants have designed increasingly complex schemes and encouraged the notion that their creations will improve executive performance. All that ha happened is that boardroom pay has exploded and corporate performance, as measured by share prices, has gone nowhere in a decade.

It's not an accident: this is design. The plan is simple: to extract a top slice of reward today from the benefit due to investors tomorrow.

Except it's not reard. It's theft because that pay is not due.

But directors are doing it, all the same.

Bankers are doing it.

Investment fund managers are doing it.

And we don't know because so few of us have any idea what is happening to our investemnt funds, endowment policies, pensions and more besides.

But some signs of this cannot be hidden forever, and the pension crisis is the surest sign of what is happening. We cannot apparently provide pensions out of stock market pensions but we can spend a fortune today remunerating the financial services community from out of the same funds.

Open your eyes - these events are directly related.

Bankers, directors and fund managers are stealing your future.