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Why bonuses tied to ESG could leave a ‘sour taste’ in the City
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More City workers face bonus cuts for failing to meet environmental, social and governance goals, but recruiters and employment lawyers warn that unless such schemes are well designed, staff could be left frustrated at pay cuts for supposed ESG failures.
“Before, bonuses were all very much about: ‘you delivered this much in revenue and you get X amount’,” a City recruiter who asked to remain anonymous said. “You just needed a sophisticated spreadsheet and a management system and you could work out the answer.
“But...
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