Capping pay could drive talent abroad, warns City HR director

Capping pay at the top levels of the finance industry could drive talent abroad and will not curb risk taking, a FTSE-100 company HR director has told PM.

Orlagh Hunt, group HR director for City insurance giant RSA, warned against pay capping after the Financial Services Authority published a new code of practice on City pay. The code aims to restrain remuneration packages that encourage risky behaviour. But some commentators have said the code is too weak and should have included pay caps.
 

Language does not simply reflect what is going on in organisational life: it also influences what people think and what they do

Linda Holbeche, director of the Holbeche Partnership and visiting professor of HRM/OD at Cass Business School