Workshop report on banks’ remuneration rules (CRD III) – Are they implemented and do they work in practice ?

In 2010 the European Parliament adopted 'CRD III' (Directive 2010/76/EU amending the Capital Requirements Directives), which included some of the strictest rules in the world regarding bankers' bonuses. These rules took effect in January 2011. After one year of application, the ECON Committee felt that the time had come to check if these tough new rules on bonuses were being properly implemented and had indeed effectively transformed the bonus culture and ended incentives for excessive risk-taking. This workshop on the Implementation of Banks' Remuneration Rules (CRD III) sought to gather information on the state of play of implementation, in particular tried to gain views as to the efficiency of the new framework for bankers' bonuses. The views of the European Commission, as well as the current work of the Financial Stability Board (FSB), the European Banking Authority (EBA) and scientific experts in the area were taken into account for this evaluation.