Bank of Canada under fire for bonuses -

Bank of Canada under fire for bonuses

Senior officials received $458,832 in 2009: report


The recession may be over, but the spectre of big bonuses paid out to bank executives is still enough to make our blood boil. Especially when it comes to public sector employees. The Bank of Canada is facing criticism after an investigation by QMI Agency researcher Ken Rubin revealed that senior officers received $458,832 in performance bonuses last year. Though the amount is substantially less that that paid to the country’s private bank execs ($8.3 billion in 2009), the revelation still drew fire. “The Bank of Canada is not a private business,” says NDP MP Pat Martin. “It’s not tied to performance or productivity outcomes.” The Bank of Canada declined to comment on the report, but Kevin Gaudet, the federal director of the Canadian Taxpayers Federation, defended the use of bonuses for employees. “If somebody in procurement, for example, could figure out ways to spend less on IT programs, or whatever, they should be compensated appropriately for that,” he says. “Otherwise you don’t have motives to do better.”

Ottawa Sun

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Bank of Canada under fire for bonuses

  1. So… Rubin, who did the investigating, says that senior officers received performance bonuses.
    NDP MP Pat Martin, who did jack squat, says that it's not tied to performance.

    Hmmm.. who to believe, who to believe.

    Go soak your head, Pat.

  2. Yeah, the problem is any of the banks would love to poach one of the BoC executives for their capital markets groups. They'd pay them 5-10x what they make with the Gov, after bonus.

    Do they make too much money? Perhaps. But unless you want the leftovers of the leftovers running the BoC, you do need to pay competitive rates, even if those competitive rates are sky high.

  3. I'd also like to point out the BoC has been doing a pretty good job. I'd like to think competence is still rewarded somewhere.