RON DERBY: Demise of corporate conscience deadlier than listeriosis itself
Massive board resignation is not something we are likely to see here
Given how low our expectations of corporate governance have become, we should perhaps applaud Sanlam CEO Ian Kirk's decision to cut his bonus and that of 100 employees because of the insurer's exposure to Steinhoff International's meltdown. It's a gesture alright, and while the percentage cut, in his case 20%, does read as rather punishing, is he really taking much pain, especially as those on the lower rungs of his business are getting no bonuses. Before the decision to "slash" his bonus, he would have earned R12.5-million, now he is set to get R10-million. Now, if you were to ask anyone you know whether they'd be happy to accept a R10-million over a R12.5-million bonus, I am sure you wouldn't get much of an argument.So, while we should give kudos to the executives at Sanlam for taking some sort of accountability for what were clearly bad judgment calls in the case of Steinhoff, it looks like a rather insignificant slap on the wrist. And one wonders whether Rand Merchant Bank, ...
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