PM's UN rhetoric should be matched by action - Greens

Prime Minister Kevin Rudd's comment that 'Regulators should set higher capital requirements for financial firms that have executive remuneration packages that reward short-term returns or excessive risk-taking' is at odds with his government's decision to vote down the Greens' move to have CEO pay investigated, Australian Greens Leader Bob Brown said today.

"The United States Congress is considering potential restrictions on 'golden handshakes' for chief executive officers as part of the $US700 billion bailout package. Kevin Rudd and Malcolm Turnbull should investigate similar measures for Australia," Senator Brown said.

"Australia should investigate restrictions on so-called 'golden handshakes' for executives in light of the financial crisis in the United States," Senator Brown said.

Senator Brown will move a motion calling on the Australian government to investigate similar measures on 14 October.
The motion reads:

        That, in light of the $US700 billion economic reform package to address the financial crisis in the United States of America (US) currently before the US Congress, which includes potential restrictions on chief executive officers' 'golden handshake', the Senate calls on the Australian Government to investigate similar measures for termination payouts for executives.

Last Wednesday, Labor, the Coalition and Senator Fielding voted against Senator Brown's motion calling on the government to urgently introduce measures to 'restrict the unjustified and extravagant salaries paid to executives, including options such as capping the most extravagant executive salaries and investigating loopholes in taxation legislation for such salary earners'.

Further information: Ebony Bennett 0409 164 603