Graeme Leach
Media playback is unsupported on your device
Video

Institute of Directors on High Pay Commission report

The chief economist at the Institute of Directors said he would not defend the "indefensible" after a report into the pay of elite managers in UK firms, which he claimed could undermine confidence in the private sector.

Graham Leach spoke as a report said excessive pay at the top of UK companies was having a "corrosive" effect on the economy and Business Secretary Vince Cable said some pay awards have been unacceptable.

It was published by the High Pay Commission, set up by the left-leaning pressure group Compass with support from the Joseph Rowntree Charitable Trust.

Former Labour MP Alan Miburn said shareholders want to see a link between performance and pay.

MORE FROM THE DAILY POLITICS

More clips and news on our BBC website; 'like' us on Facebook page; follow us on Twitter

  • 22 Nov 2011
Go to next video: Hutton: Top pay is 'arms race'