Another Fred

And what we learn from this morning is “Don’t go boozing on a skool night”. Oh dear :-(

I suspect today’s opinion might be a bit unpopular, but since when did that ever stop me? There’s much furore among the envious about the sixteen million pound pension deal of former RBS chief Sir Fred Goodwin: even Labour deputy leader Harriet Harperson has weighed in to the debate, saying he shouldn’t count on receiving the full amount, after RBS had to be bailed out by the taxpayers on his watch.

A pension of over£700k per year is certainly a big number, but that on its own isn’t a reason for taking some of it away. Is Sir Fred a bad person for negotiating the best pension he could? No, he’s only done what you or I would do. The numbers are different but that doesn’t change the principle.

Apparently if Sir Fred had been sacked, his pension could have been reduced, but he was asked to take early retirement: someone may be at fault for that decision but it isn’t him. And RBS may be in trouble, but no worse than many other banks, so it doesn’t seem right for him to take all the blame.

But the main reason he should receive his full contractual entitlement is that if it becomes OK for the government to screw with his pension, it becomes OK for them to do the same to yours and mine.

Comments are closed.