Only last month did we witness the collapse of the oldest travel company in the world. When the figures were scrutinised it became clear that the CEOs took huge pay packets before the collapse of the company. We have also seen the collapse of Carrillion who faced exactly the same issue: high executive pay and a risky approach to managing the business.
Over two years ago the UK Government published a Green Paper – a document that sets out their plan of action – on corporate responsibility. Since then hardly any action has been taken. That’s why I pushed the minister for assurances that action would be taken as too many people’s jobs are being put at risk.
The minister said that they have implemented some voluntary measures and believe that because executive pay has slightly fallen they need not take anymore action. The longer the UK Government let large corporations off like this the more frequent a collapse like Thomas Cook will happen.