Yesterday's Sunday Times newspaper contained a front page report titled "Alistair Darling: new law to curb city bonuses", based on an interview with the Chancellor. Mr Darling's actual comments were, however, rather more equivocal: “If we need to change the law and toughen things up, we can do that" he is reported as saying. The newspaper contained an editorial titled "Darling, you can't curb big bonuses", in which the familiar analogy between highly paid footballers and bankers and directors was repeated. It's often argued that if society is happy for footballers to be highly paid why not others including directors? There is a difficulty here: can the contribution of a director be measured and assessed in the same way as a footballer's contribution to his team's success?Meanwhile, in a letter in today's Guardian newspaper, the case is made for the establishment of a High Pay Commission (HPC). The authors rightly broaden the debate on pay and argue that the HPC should:
... launch a wide-ranging review of pay at the top. It should consider proposals to restrict excessive remuneration such as maximum wage ratios and bonus taxation to provide the just society and sustainable economy we all want".
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