Dutch Parliament calls for bonus punishments
Members of the Dutch Parliament on Tuesday 22 March called for bonus payouts to executives at bailed-out institutions in the country to be hit with a 100% tax.
The motion, if it goes through, will penalise executives at banks and insurance companies that received state aid, including ABN AMRO, ING, Aegon, SNS Reaal and ASR.
As the respective bailouts date back to 2008, the proposal is asking that the tax be applied retrospectively to all bonuses since that time.
The Freedom Party put forward the motion, with the support of the Labour Party and Socialist Party.
Dutch finance minister Jan Kees de Jager is against the proposed bonus tax on the grounds it will amount to a long-running legal conflict that cannot be won. He also said it goes against the constitution.
Earlier on the same day, Tuesday, ING Group’s chief executive Jan Hommen announced he and the rest of its executive board were waiving their bonuses for 2010 following an outcry by investors.