I’ve often thought that when a company, especially one as big as Alphabet/Google, gets fined, it’s simply seen as an operating cost and not as a motivator to do better.
The reason that banks generally take AMLAT rules so seriously is that the fines are vastly higher than any profit that can be generated by breaking them. Where I live they're in the order of up to a million per transaction that violates the rules.
CBA in Australia was fined $700 million and Westpac $1.3 billion for mere tens of thousands of transactions that were in breach. They have spent a lot of time and money fixing their shit since then, unsurprisingly.
Fines that punch through to individuals are another great motivator. Health and safety rules suddenly started getting taken a great deal more seriously in my neck of the woods when managers became personally liable for up to $200,000 for breaches.
Clearly fines aren't sufficiently high. I think we need to scale them with revenue. Like towards 25-50%. Maybe with some payment plan if needed taking money from employer/executive bonuses, stock buybacks and dividends until it is paid with full interest.
So do the execs at google. And what is "better" anyway? Morality won't pay the bills.. Engineering society to do whatever it is you want society to do is good business however.
You'd hope this is where government and its legislative arm would step in to speak up for the 'citizens' but in fact, government is just the other wing of the same bird.
I look at so many issues in the US... the East Palistine train derailment and SVB bank... and wish that would actually happen (to sr mgt and boards) in practice.
rodgerd|2 years ago
CBA in Australia was fined $700 million and Westpac $1.3 billion for mere tens of thousands of transactions that were in breach. They have spent a lot of time and money fixing their shit since then, unsurprisingly.
Fines that punch through to individuals are another great motivator. Health and safety rules suddenly started getting taken a great deal more seriously in my neck of the woods when managers became personally liable for up to $200,000 for breaches.
Ekaros|2 years ago
verisimi|2 years ago
You'd hope this is where government and its legislative arm would step in to speak up for the 'citizens' but in fact, government is just the other wing of the same bird.
Gibbon1|2 years ago
Well they're wrong. You could sentence the board to serve a stint in jail. Or management. Or even everyone that works there.
Want to talk about lighting a fire under people.
tracker1|2 years ago
midoridensha|2 years ago