|Vince Cable spells out his proposals|
So it comes as no surprise to hear that several Conservative MPs are upset by Business Secretary Vince Cable's proposals for tackling corporate greed and corruption. Personally, I don't see it as a proper position for any Conservative to take, giving tacit support to those who would use and abuse a company for personal gain. But Peter Bone, chirpy chap that he is, called the proposals "Liberal, left-wing claptrap". I hardly think giving shareholders a voice in their company, in a binding way over pay of executives, is that. And Philip Davies referred to them as "drivel". He said Vince Cable should "get off their backs and let them create some wealth". Are you for real, Mr.Davies? Some of these directors have not been creating wealth except for themselves. The absurdity of such cretinous remarks is that it rewards failure as much as success. That has been the downfall of British business. Not something you hear much of in Germany. We seem to be saddled with Fred Goodwins, not much better that legalised crooks.
The Institute of Directors, hardly a haven for militant socialists and lily-livered liberals, is supportive. Dr Roger Barker, of the IoD, comments, "A binding shareholder vote on executive remuneration policy will remind institutional investors of their key governance responsibilities. The government is also right to consider ways in which boards of directors can become more diverse - companies must incorporate views beyond those of current and former executives in the setting of CEO pay." Well said.
What we need is a root and branch cleaning up of the British corporate scene. Nobody is suggesting that those in charge should not be rewarded well. It's just that shareholders should be given more say over what goes on in their name. What's wrong with that? Hardly left-wing claptrap. I supposed Bone and Davies think all is neat and dandy with these corporate types. Nothing to change, just carry on chaps. Well, that's not my type of conservative thinking.
Left to their own devices, the corporate world has massacred the pension funds, done deals with countries like China over jobs, and generally kept their own nests well feathered whilst asking for bailouts when they got things wrong. Free enterprise lives with businesses starting up and closing down. The taxpayer does not generally intervene. Banks and the moneychangers see themselves as different clay. That's why we are stuffed as a country paying down the national debt (well sort of!) whilst they carry on regardless.
Not my type of conservatism, Mr.Bone and Mr.Davies!