Tax Payers lose £900M as investors fear political interference with RBS

[MrSmith]

But it doesn't work like that in investment banking. Folks don't need to buy from the bank next door. They can buy from the brokers on Wall Street.

So perhaps the level of business does remain the same. But the level of business and jobs in this country isn't and our balance sheet isn't a beneficiary.

 

 

Sorry, crossed wires this is off topic from a few pages back.

[anywebsite]

But it doesn't work like that in investment banking. Folks don't need to buy from the bank next door. They can buy from the brokers on Wall Street.

So perhaps the level of business does remain the same. But the level of business and jobs in this country isn't and our balance sheet isn't a beneficiary.

 

If they do their jobs right then they're investing money in real businesses & helping the global economy grow like that. They make money, the businesses that had the money invested in their shares, bonds, loans & overdrafts make money & everybody wins, resulting in the bankers having more to invest.

[lizmachin]

But it doesn't work like that in investment banking. Folks don't need to buy from the bank next door. They can buy from the brokers on Wall Street.

So perhaps the level of business does remain the same. But the level of business and jobs in this country isn't and our balance sheet isn't a beneficiary.

 

You should perhaps read this. It is one of many instances since 2008/9

 

http://www.personneltoday.com/articles/2010/02/26/54428/rbs-top-staff-quit-in-their-thousands-with-more-set-to-leave.html

 

Thousands of top RBS staff quit last year and more are set to leave, the bank's chief executive has revealed.

Stephen Hester said profits at RBS would have been about £1bn higher if it had successfully retained its employees.

The bank announced it was paying £1.3bn in staff bonuses despite making a £3.6bn loss in 2009.

Hester told the BBC: "We've had a small experiment in this respect... some of our best-performing people have been leaving in their thousands.

"The people who left us last year, I believe, would have increased our profits by up to £1bn beyond the ones that we've got."

 

He said the bank had kept defections to "a damaging but not destructive level" last year, the Evening Standard reported, but "this year is going to a very worrying one for our staff and we will lose a lot more people.

 

"We now lie at the bottom end of the league table in terms of the incentives we are offering," he added.

 

 

http://www.ft.com/cms/s/0/46db8d28-b74f-11de-9812-00144feab49a.html#axzz1lEd8sQtd

 

RBS Coutts, the international arm of the UK private bank, is scrambling to rebuild its flagship Singapore office after the mass resignation of one-third of its staff in the city-state.

 

The surprise departures include about 20 key managers, as well as 50 or so support staff, some of whom built up lucrative private banking business with rich Indians and Indonesians.

 

 

A lack of annual bonus prospects is believed to be a factor behind some of the resignations at the division, owned by Royal Bank of Scotland, which was rescued by the UK government last year.

 

Senior moves in the private banking industry are sensitive, due to the possibility of colleagues following departing employees to other institutions and taking clients with them. The destinations of the 70-odd staff remain unknown.

[Lockjaw]

It seems you have nothing intelligent to add to this thread after all. When you have to resort to claiming that someone is agreeing with your post when they aren't you are fooling no one including yourself.

 

Hmmmm. Maybe it's one of those East/West Pennines language barrier thingies - like when I first went into a chippy in Sheffield, asked for pudding chips & peas, received a blank stare, asked for fishcake and chips, rejected the strange batter covered contraption they tried to give me, decided to settle for a chip barm, received a blank stare, went for a curry instead - but I was under the impression that, if one person states "the share price is a red herring" and the other person says "course it is" then that signifies agreement.

 

That aside, since you're so much more intelligent than me, do you fancy responding properly to my points in post 57 which you chose to dodge?

 

Do you still think RBS is a private company?

 

Do you accept that RBS shares have lost no value?

[anywebsite]

If it worked how you suggest everyone would be employed. It would make perfect economic sense to employ everyone, unfortunately it doesn’t work like that so we do have unemployed people, and employing them all tomorrow won't help the economy unless they are employed to do the jobs we don't already do.

 

It makes perfect economic sense to everybody except those at the very top of businesses that employ a lot of people, to employ everybody.

 

Unfortunately it's those at the top who control everything. They benefit from having normal people working on low wages so that their profits are increased. They need unemployment to achieve low wages.

[Lockjaw]

It's not about whether he deserves it or not.

 

It's about the money that other banks are willing to pay to get similarly qualified & experienced people. It's a competitive market & there aren't many people with experience of running huge multinational banks well - they're generally already busy running another bank & being paid an obscene amount of money to do so.

 

If RBS pay lower bonuses than other banks that operate all over the world they wont attract the best staff & any staff they have who could get better paid jobs elsewhere will probably leave. If they end up being run by even bigger idiots (like the government) they wont ever be a successful bank & we all (as taxpayers) lose.

 

Webby, do you actually read the posts you respond to? You seem to be arguing the toss with my statement of "I don't know" Seems strange that.

 

Do you have any comment on the data, I provided for you in post 75, which shows some of your earlier claims to be factually incorrect?

[MrSmith]

It makes perfect economic sense to everybody except those at the very top to employ everybody.

 

Unfortunately it's those at the top who control everything. They benefit from having normal people working on low wages so that their profits are increased. They need unemployment to achieve low wages.

 

I'm not at the top and it makes no sense to me, I have run a couple of businesses and I know that when I expanded another business doing what I did contracted, this results in a price war and eventually one goes bust. Everybody simply cannot be employed to sell things to each other; it can't work and doesn't work.

 

How do they control everything, a company is controlled by its customers and without customers there can be no business.

[T 42]

You should perhaps read this. It is one of many instances since 2008/9

 

http://www.personneltoday.com/articles/2010/02/26/54428/rbs-top-staff-quit-in-their-thousands-with-more-set-to-leave.html

 

Thousands of top RBS staff quit last year and more are set to leave, the bank's chief executive has revealed.

Stephen Hester said profits at RBS would have been about £1bn higher if it had successfully retained its employees.

The bank announced it was paying £1.3bn in staff bonuses despite making a £3.6bn loss in 2009.

Hester told the BBC: "We've had a small experiment in this respect... some of our best-performing people have been leaving in their thousands.

"The people who left us last year, I believe, would have increased our profits by up to £1bn beyond the ones that we've got."

 

He said the bank had kept defections to "a damaging but not destructive level" last year, the Evening Standard reported, but "this year is going to a very worrying one for our staff and we will lose a lot more people.

 

"We now lie at the bottom end of the league table in terms of the incentives we are offering," he added.

 

 

http://www.ft.com/cms/s/0/46db8d28-b74f-11de-9812-00144feab49a.html#axzz1lEd8sQtd

 

RBS Coutts, the international arm of the UK private bank, is scrambling to rebuild its flagship Singapore office after the mass resignation of one-third of its staff in the city-state.

 

The surprise departures include about 20 key managers, as well as 50 or so support staff, some of whom built up lucrative private banking business with rich Indians and Indonesians.

 

 

A lack of annual bonus prospects is believed to be a factor behind some of the resignations at the division, owned by Royal Bank of Scotland, which was rescued by the UK government last year.

 

Senior moves in the private banking industry are sensitive, due to the possibility of colleagues following departing employees to other institutions and taking clients with them. The destinations of the 70-odd staff remain unknown.

 

 

So the recent events are merely the tip of a huge iceberg. The bank has been haemoraging key staff for the last 3 years and they have been taking the banks core business with them.

[green]

You should perhaps read this. It is one of many instances since 2008/9

 

http://www.personneltoday.com/articles/2010/02/26/54428/rbs-top-staff-quit-in-their-thousands-with-more-set-to-leave.html

 

Thousands of top RBS staff quit last year and more are set to leave, the bank's chief executive has revealed.

Stephen Hester said profits at RBS would have been about £1bn higher if it had successfully retained its employees.

The bank announced it was paying £1.3bn in staff bonuses despite making a £3.6bn loss in 2009.

Hester told the BBC: "We've had a small experiment in this respect... some of our best-performing people have been leaving in their thousands.

"The people who left us last year, I believe, would have increased our profits by up to £1bn beyond the ones that we've got."

 

He said the bank had kept defections to "a damaging but not destructive level" last year, the Evening Standard reported, but "this year is going to a very worrying one for our staff and we will lose a lot more people.

 

"We now lie at the bottom end of the league table in terms of the incentives we are offering," he added.

 

 

http://www.ft.com/cms/s/0/46db8d28-b74f-11de-9812-00144feab49a.html#axzz1lEd8sQtd

 

RBS Coutts, the international arm of the UK private bank, is scrambling to rebuild its flagship Singapore office after the mass resignation of one-third of its staff in the city-state.

 

The surprise departures include about 20 key managers, as well as 50 or so support staff, some of whom built up lucrative private banking business with rich Indians and Indonesians.

 

 

A lack of annual bonus prospects is believed to be a factor behind some of the resignations at the division, owned by Royal Bank of Scotland, which was rescued by the UK government last year.

 

Senior moves in the private banking industry are sensitive, due to the possibility of colleagues following departing employees to other institutions and taking clients with them. The destinations of the 70-odd staff remain unknown.

 

Hey Liz, Is there any coincidence you typed this from a tax haven perchance?

 

[green]

So the recent events are merely the tip of a huge iceberg. The bank has been haemoraging key staff for the last 3 years and they have been taking the banks core business with them.

 

RBS is closing all of its "investment arms" and becoming once again a high street branch. If staff leave, thats brilliant........the tax payer wont have to pick up the redundancy payments aswell.

 

Hoorah!