On 29 April 2009 the European Commission has adopted the Recommendation on Remuneration in the Financial Services Sector.
The Recommendation proposes to the Member States to ensure that financial institutions have remuneration policies for risk-taking staff which would ensure the consistency of remuneration with the effective risk management.
The Recommendation proposes to the Member States to take certain measures in the area of determination of remuneration policies. First of all, the remuneration should be consistent with and promote sound and effective risk management. Therefore, the payment of core pay and bonuses should be Eversheds Saladžius is a member of Eversheds International Limited balanced. It is proposed to establish requirements which would ensure the remuneration policy to be transparent and clear and to provide measures to avoid conflicts of interest. It is also recommended to determine remuneration policy by involving persons or departments responsible for staff management and human recourses.
The application of Recommendation is not compulsory to the Member States.