News

On 10 June, finance unions around the world will meet in Copenhagen to launch a charter on the responsible sale of financial products.



Under the umbrella of UNI Finance, finance unions around the world will take the charter to banks and insurance companies with the request to enter into negotiations on company specific charters on the responsible sale of financial products.



The charter sets out principles for creating a corporate environment that enables finance workers to provide good advice to customers buying financial products.



The charter calls on companies to:



· Apply internal operating procedures conducive to the responsible sale

of products



· Empower the employees of the company



· Ensure incentive systems for employees at all levels are realistic,

fair, transparent and based on long-terms and sustainable business goals



· Apply incentive structures rewarding good customer services and

qualified advice



· Establish internal structures allowing employees to report

inappropriate practices to an independent ombudsman



The model charter is a step towards overhauling the business model of the finance industry to promote fair sales practices and transparency and encourage a risk-conscious business model that focuses on the customer.



The charter is an important means of rectifying one of the main failings of the finance industry that led to the financial crisis: sales and performance pressure on workers coupled with a focus on short-term profits.



The charter is a practical way to bring management, trade unions and other stakeholders together to address these issues at the company level.



They will also ask financial regulators and supervisors to promote the charter as a key plank in corporate governance.



UNI Finance is the global union for the banking and insurance industry with

3 million members in 230 unions worldwide.



To view the charter, click the link below or look at this article's related files.



E-charter on sales and advice.pdf