Swiss lawmakers agree to ban bonuses at too-big-to-fail banks
The proposal from the centre-left Social Democrats was supported by 101 lawmakers, with 70 against, and now goes to the Senate for approval, in which case it would become law.
Keystone / Peter Klaunzer
The House of Representatives passed a bill on Tuesday to ban systemically relevant banks from paying some bonuses, limiting payouts for top executives and risk managers.
This content was published on
1 minute
Bloomberg
Italiano
it
I legislatori svizzeri concordano nel vietare i bonus alle banche troppo grandi per fallire
The proposal from the Social Democrats was supported by 101 lawmakers, with 70 against, and now goes to the Senate for approval, in which case it would become law.
Switzerland has just weathered a crisis which forced the fusion of its two biggest financial institutions. Credit Suisse Group AG was taken over by UBS Group AG after becoming the first global systemic bank to near collapse since the 2008 market turmoil.
The implicit state guarantee received by large banks means that any risk such institutions take ultimately falls to taxpayers, said Prisca Birrer-Heimo of the Social Democrats, who submitted the proposal.
The government is itself mulling legal options to limit big bank bonuses, so the bill has been “surpassed by recent events,” Finance Minister Karin Keller-Sutter told lawmakers.
Aside from Credit Suisse and UBS, other institutions designated by the Swiss National Bank as systemically important are Raiffeisen Group, Zuercher Kantonalbank and PostFinance. That label means that they are already required to hold higher capital and liquidity buffers and maintain recovery and emergency plans.
Uri voters clear path for hotel and marina complex in central Switzerland
This content was published on
Voters in canton Uri in central Switzerland have rejected a Green Party initiative aimed at regulating the development of the lakeside site in Isleten.
Valais voters reject plan to achieve carbon neutrality by 2040
This content was published on
Voters in canton Valais in southern Switzerland have turned down a proposal for the region to achieve carbon neutrality by 2040.
Swiss central banker wants to boost equity to head off risks
This content was published on
Equity levels at the Swiss National Bank (SNB) are much too low for the risks its large balance sheet poses, according to Martin Schlegel.
Beer sales in Switzerland watered down by bad weather
This content was published on
The past brewing year fell through in Switzerland, partly due to the bad weather. Beer sales shrank again. For the first time, per capita consumption fell below the 50 liter mark.
If you want to start a conversation about a topic raised in this article or want to report factual errors, email us at english@swissinfo.ch.
Read more
More
Swiss government orders freeze on Credit Suisse bonus payments
This content was published on
The Swiss government is ordering Credit Suisse to temporarily suspend certain forms of variable remuneration for its employees.
How the Swiss ‘trinity’ forced UBS to save Credit Suisse
This content was published on
The takeover of its local rival could end up being a generational boon for UBS. But the government-orchestrated deal has angered many investors.
Credit Suisse agrees to CHF3bn takeover by rival Swiss bank UBS
This content was published on
Ailing Swiss bank Credit Suisse will be taken over by its rival UBS after a frantic last-ditch deal to prevent a catastrophic banking collapse.
You can find an overview of ongoing debates with our journalists here . Please join us!
If you want to start a conversation about a topic raised in this article or want to report factual errors, email us at english@swissinfo.ch.