Spartacus is amused. Sort of.
Whilst not at all discounting some of the abhorrent behaviour thus far highlighted in the Banking Royal Commission, a little bit of perspective is necessary.
Absolutely positively, the bad behaviour identified at the Banking Royal Commission is terrible and abhorrent. But it is not news and seems to have nothing to do with actual banking. The big issues, at least identified thus far, relate to the provision of financial advice and not credit or deposit taking.
Let’s remember that AMP is not a bank, it is a wealth manager. Yes it owns a bank, but there have thus far been no issues identified within the AMP bank.
On another level, some proportion please. Yes. Many people have been severely and adversely affected, but out of how many? And what about financial planners who don’t work for the big 4 or AMP. Will there be ventilation of their issues?
Is there to be a royal commission into accidental deaths and injuries within the health system? How about a royal commission into the number of children graduating school being unable to read or count? These things happen. They are terrible. They are horrible. But some proportionality please.
However, in one of the more idiotic analyses provided thus far, Andrew White in the Australian writes about resources being restored at ASIC. Fair dinkum. As he himself describes, yes perhaps ASIC is getting less direct government budget funding, but there seems no evidence that total resources have diminished because of ASIC’s cost recovery regime (taxation by other means). And then to yabber on about head count numbers please within ASIC. For heaven’s sake!
You’d think someone who is in the business of covering government knows by now the difference between resources (inputs) and results (outcomes) and the difference between quantity and quality. It was like reading the Guardian.
Spartacus would rather employ 1 hungry and talented lawyer than 15 of your average CPSU members. It is not about the quantity of the people, it is about the quality; especially at the leadership level. Look at Greg Medcraft, who was the global head of securitisation for Soc Gen and some of his “post employment issues“. One might also wonder how many staff could have been funded with Greg Medcraft’s international travel budget?
When it comes to resources in large organisation, there is also the factor of priorities and resource allocation. ASIC has long had the powers and the resources to address the issues raised thus far – hence the references to breach reports to ASIC and licence reviews. What ASIC chose to do is another matter.
But Spartacus’ favourite issue thus far relates to the screams from politicians about these entities charging customers fees without providing the specified service.
What do these politicians think about their customers (tax payers) being charged fees (taxes) without the provision of specified service?
You know, like. Kettle, pot, black.
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