The unfair bonus culture and unachievable staff targets within the financial services industry must be overhauled to bring overdue cultural change, according to Unite the union.
Unite, which represents staff across the banking industry, is calling on the regulator to work with the banks and the union in order to end the culture of unachievable targets set for staff. With front line staff earning as little as £14,000 it is now time for staff to get a fair day’s pay that is not linked to sales.
Dominic Hook, Unite national officer said: “The £28m fine imposed by the FCA today is another illustration of the overdue changes needed within the banking industry in order to end the culture that caused the credit crunch. The target driven sales culture, where the performance of ordinary bank workers is judged on achieving sales targets, rather than meeting the needs of customers, is unsustainable and could lead to another mis-selling scandal. For too long there has been a link between pay and sales at the retail banks. Unite is calling for a cultural change in banking in order to support staff and better serve customers.
“Unite is calling on sales bonuses for customer facing staff to be abolished and replaced with rewards for good customer service. For many years Unite has argued against the practice where staff must reach unachievable sales targets to qualify for their often small annual bonus payment.
“Unite has long argued that the pressurised sales environments cause frontline workers to suffer from stress due to unrealistic targets, the unremitting pressure to perform and insufficient time to do their job.
“Despite the countless reports and investigations into the conduct of the banks the industry clearly has not learned the lessons of the financial crisis nor heard the concerns of customers and staff in order to adequately change.”
For further information contact Saba Edwards, Unite senior communications officer: 07768 693 953
Twitter: @unitetheunion Facebook: unitetheunion1 Web: unitetheunion.org
Notes to editors
• Unite is Britain and Ireland’s largest trade union with over 1.4 million members working across all sectors of the economy. The general secretary is Len McCluskey.