When it’s perceived that executives are being paid for failed efforts and mistakes, or their risks are asymmetric (“tails I win, heads you lose”), then the investing public has the right to be irate. We don’t mind if people have a go and don’t succeed. But if well paid executives take risks and are not successful then many Australians would likely not feel comfortable with a full reward being paid just for “having a go”.
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This issue must be resolved over the next five to 10 years