When the 2018 banking royal commission swept through the industry, one of its big lessons was that the staff incentives offered by big businesses matter – a lot. That may sound painfully obvious but remuneration schemes and their influence on staff behaviour were a recurring theme of former High Court judge Kenneth Hayne’s probe, and of how the industry has since sought to improve.
Six years later, banker bonuses are back in the spotlight, after Commonwealth Bank and National Australia Bank have this year scrapped previous commitments on how they pay certain staff.
CBA and NAB have this year increased caps on bonuses for home lenders.Credit: Jessica Shaprio
To recap: earlier this year, CBA said it would increase the maximum bonus it would pay some home lending staff to 80 per cent of their fixed pay, up …