Fine editorial from the best daily in British Columbia:
Community Living British Columbia bonuses call for inquiry, Times Colonist, June 22, 2012:
…Last fall, as reports of CLBC’s mismanagement and cover-ups mounted, the bonus program became controversial.
Cadieux ordered the agency’s board to end it.
And the CLBC board did just that – by increasing executive salaries by virtually the same amount as the maximum possible bonus. The 61 executives who shared the chance to earn about $300,000 in performance bonuses were quietly given raises worth the same amount.
That highlights several issues. Most obviously, it suggests the bonus plan was a sham, that managers’ goals were easily attained. Otherwise, there was no legitimate reason to raise the salaries by the full amount. (emphasis added)
That in turn raises questions about the legitimacy of bonus plans across government and Crown corporations. The auditor general, for example, reported last year that B.C. Hydro executives were paid large bonuses based on inaccurate reports of its financial performance…