Staff in banking jobs 'need to understand public anger'

People in banking jobs still do not comprehend public anger about remuneration, the former chief executive officer of Morgan Stanley has said.

John Mack said that the issue for people outside the sector is not about how bankers are paid, but how much they are paid.

"I still don't think the industry gets it", he said. "The issue is not structure, it is amount.

"If we don't do something, the government will do something."

Mr Mack, who retired from his banking job at Morgan Stanley in December, did not take a bonus for the last three years in the role, reports Bloomberg.

But his successor, James Gorman, has taken an $8.6 million (£5.6 million) bonus for 2009 in deferred stock options.

Earlier this week, the New York comptroller Thomas DiNapoli reported that bonuses on Wall Street went up by around 17 per cent last year for those in banking jobs.

Updated: 26 February 2010.
Categories: banking-and-financial-services, market-and-industry-news.