One Direction vs a FTSE 100 company - which is more "grossly immoral"?

Surely Vince Cable wouldn't take a swipe at a fellow tousle-haired scamp like Harry Styles.

Vince Cable’s swift denial of claims that he attacked the pay of One Direction in a debate yesterday was a great bit of crisis aversion. After various commentators claimed that he’d responded to a question about the boyband’s alleged £5m per member pay packet with an attack on their "grossly immoral" earnings, aides were quick to clarify that he’d misheard the question. He was talking about the issue of executive pay.

The jury’s out on whether he actually knew what he was saying or not, but it’s easy to get confused between the band and a FTSE 100 company. Both One Direction and WPP, for example, were created by a sinister orange puppet master for the purpose of world domination. For my part, I think it unlikely Vince would want to take a swipe at a fellow outspoken, tousle-haired scamp like Harry Styles.

The point is it doesn’t matter. Whether the line was a smokescreen or a clarification, it was the right choice, and that is infuriating. The British public (or at least that rabid segment of it represented on Twitter) seemed satisfied with Cable’s explanation. Attacks from directioners are disappointingly few. So why are we happy to indiscriminately lash out at the inflated pay packets of the suits while letting the quiffs keep their cocaine summer houses and personal fleets of ice cream trucks?

It’s true that executive pay is an important issue. According to the FT, the median pay of a FTSE 100 chief exec has risen 266 per cent since 2000, while that of the average worker has risen a mere 40 per cent. Perhaps this direct and rather alarming comparison between the pay of CEOs and those of us at the bottom makes anger easier to come by.

While last year’s "shareholder spring" was a step in the right direction - a third of FTSE 100 CEOs who have disclosed their salary for 2013 have frozen their pay -  this year may be quieter. Despite outspoken opposition from Standard Life’s Guy Jubb, BP’s remuneration report passed last week with 93 per cent of shareholders in favour. 

However, there is a qualitative difference between the pay of a pop star and the pay of many executives. One Direction’s pay is, more or less, reflective of how much money they bring in for their label and management. Doubtless, they do this well, and they deserve to see much of that money. However, a Chief Executive generally has additional considerations knocking around his or her less photogenic head. As Jonathan Guthrie pointed out last week, BP’s Bob Dudley has to meet objectives in thirteen categories to get his bonus. One of them is "upstream major project delivery". Surely the man deserves a few thou for even knowing what that means.

The concern is that CEOs are being dragged into bash a banker hoo ha hour - post-crisis Britain’s favourite entertainment show. If the main swell of the pay debate ceases to be conducted along reasonable lines, CEOs won’t listen even to reasonable objections. Many of them earn too much, and few if any of them have the bewitching charm of Zayn Malik, but we should acknowledge that CEOs do a complicated job, and remuneration needs to account for that in a manner which is satisfactory for both sides.

Photograph: Getty Images

Josh Lowe is a freelance journalist and communications consultant. Follow him on Twitter @jeyylowe.

Photo: Getty
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The rise of the green mayor – Sadiq Khan and the politics of clean energy

At an event at Tate Modern, Sadiq Khan pledged to clean up London's act.

On Thursday night, deep in the bowls of Tate Modern’s turbine hall, London Mayor Sadiq Khan renewed his promise to make the capital a world leader in clean energy and air. Yet his focus was as much on people as power plants – in particular, the need for local authorities to lead where central governments will not.

Khan was there to introduce the screening of a new documentary, From the Ashes, about the demise of the American coal industry. As he noted, Britain continues to battle against the legacy of fossil fuels: “In London today we burn very little coal but we are facing new air pollution challenges brought about for different reasons." 

At a time when the world's leaders are struggling to keep international agreements on climate change afloat, what can mayors do? Khan has pledged to buy only hybrid and zero-emissions buses from next year, and is working towards London becoming a zero carbon city.

Khan has, of course, also gained heroic status for being a bête noire of climate-change-denier-in-chief Donald Trump. On the US president's withdrawal from the Paris Agreement, Khan quipped: “If only he had withdrawn from Twitter.” He had more favourable things to say about the former mayor of New York and climate change activist Michael Bloomberg, who Khan said hailed from “the second greatest city in the world.”

Yet behind his humour was a serious point. Local authorities are having to pick up where both countries' central governments are leaving a void – in improving our air and supporting renewable technology and jobs. Most concerning of all, perhaps, is the way that interest groups representing business are slashing away at the regulations which protect public health, and claiming it as a virtue.

In the UK, documents leaked to Greenpeace’s energy desk show that a government-backed initiative considered proposals for reducing EU rules on fire-safety on the very day of the Grenfell Tower fire. The director of this Red Tape Initiative, Nick Tyrone, told the Guardian that these proposals were rejected. Yet government attempts to water down other EU regulations, such as the energy efficiency directive, still stand.

In America, this blame-game is even more highly charged. Republicans have sworn to replace what they describe as Obama’s “war on coal” with a war on regulation. “I am taking historic steps to lift the restrictions on American energy, to reverse government intrusion, and to cancel job-killing regulations,” Trump announced in March. While he has vowed “to promote clean air and clear water,” he has almost simultaneously signed an order to unravel the Clean Water Rule.

This rhetoric is hurting the very people it claims to protect: miners. From the Ashes shows the many ways that the industry harms wider public health, from water contamination, to air pollution. It also makes a strong case that the American coal industry is in terminal decline, regardless of possibile interventions from government or carbon capture.

Charities like Bloomberg can only do so much to pick up the pieces. The foundation, which helped fund the film, now not only helps support job training programs in coal communities after the Trump administration pulled their funding, but in recent weeks it also promised $15m to UN efforts to tackle climate change – again to help cover Trump's withdrawal from Paris Agreement. “I'm a bit worried about how many cards we're going to have to keep adding to the end of the film”, joked Antha Williams, a Bloomberg representative at the screening, with gallows humour.

Hope also lies with local governments and mayors. The publication of the mayor’s own environment strategy is coming “soon”. Speaking in panel discussion after the film, his deputy mayor for environment and energy, Shirley Rodrigues, described the move to a cleaner future as "an inevitable transition".

Confronting the troubled legacies of our fossil fuel past will not be easy. "We have our own experiences here of our coal mining communities being devastated by the closure of their mines," said Khan. But clean air begins with clean politics; maintaining old ways at the price of health is not one any government must pay. 

'From The Ashes' will premiere on National Geograhpic in the United Kingdom at 9pm on Tuesday, June 27th.

India Bourke is an environment writer and editorial assistant at the New Statesman.

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