Time was, you could lose a metric f*ck ton of money for, say, Barclays, collect a bonus, and then trot on over to RBS like nothing happened. No longer! Maybe! Anyway, the BOE wants to know what everyone thinks of this:
U.K. bankers may lose part or all of their bonuses even after they switch firms if they are responsible for losses at their previous employer, according to a Bank of England proposal. The BOE’s Prudential Regulation Authority is asking for feedback on the plan designed to ensure that employees can be punished financially for excessive risk-taking that goes wrong, it said in a statement Wednesday. The PRA is suggesting that an employee’s contract with any new firm would allow a penalty to be applied should the old employer determine he or she engaged in misconduct...By switching jobs and having new employers buy out the unvested portions of bonuses, employees are able to sidestep the impact of pay clawbacks from their old firms, the regulator said.