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EU: EBA looking for bank bonus exemptions

By  |  March 8, 2015

The European Union’s top banking regulator wants the bloc to alter its rules on bonuses to exempt smaller firms Bloomberg.

The European Banking Authority said on March 4 that “specific exemptions” from the EU law that caps bonuses at twice fixed pay could make sense for institutions that don’t “rely extensively on variable remuneration” and staff who “receive only a low amount” of variable pay. The EBA said it would propose legislative changes to the European Commission, the EU’s executive arm.

Granting exemptions for small banks and lenders’ asset-management arms could erode the EU’s regulatory response to the financial crisis, said Othmar Karas, who led work in the European Parliament on the bonus rule passed in 2013.

 

Full Content: Bloomberg

 

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