Another Burberry Own Goal

I found it hard to contain my anger earlier this month when I learned of the obscene pay package that has been awarded to Burberry boss Angela Ahrendts.

Following their immoral decision to cast aside decades of hard work and loyalty from their 300-strong Treorci workforce by moving production to China in 2007, I had hoped we wouldn’t be hearing from these supposed bastions of Britishness again.

The dust has barely settled on the monumental PR disaster in Treorci, but the company has been at it again this week. In a move that is sure to reinforce many people’s disdain for Burberry, Ms Ahrendts received salary, bonus and benefits – including an unspecified clothing allowance – of £3.2m for the year to the end of March. In addition she received matching share and option payouts worth £2.9m.

This cash windfall, worth more than £6 million, could have been used to keep production in South Wales. Instead, the profits from selling out a dedicated workforce, that stuck by the company through thick and thin, have been ‘trousered’ by one person.

I can't imagine how the former Troerci workers, some of who have devoted all of their working life to Burberry, are feeling now. This is yet another example of the greed of the fat cats being placed before the very people that allowed them to make a profit in the first place.

The cutlure of excessive bonuses was an obvious factor in the cause of the recent banking collapse. It handsomely rewarded banking executives for playing a high-risk, high reward strategy. It has been referred to as casino capitalism. That it is still being tolerated, beggars belief.

It is interesting that the companies that are taking a more principled attitude to the way they treat their workforce; John Lewis and Admiral Insurance are two names that spring to mind, are the ones that seem to be doing very well despite the difficult economic situation.

Perhaps Ms Ahrendts and the rest of the overpaid fat cats, from whatever sector of industry they work in, should take heed.

Treorci Recycling Centre closure

What sort of message is Rhondda Cynon Taf council sending out by its decision to close the Treorci Community Recycling Centre?

As Plaid Cymru’s Assembly spokesperson on Sustainability, I’m appalled that residents have been left in limbo with some facing a 10- mile trip if they want to recycle bulky waste. I mentioned the closure in the Assembly yesterday.

There has been a lack of consultation with local members and the public and the timing of the decision on December 23 is suspicious.

Plaid members staged a demonstration against a decision to shut a facility before a replacement has been provided, whatever the site’s capacity shortcomings. The scheme for a replacement is on hold because of a funding shortfall and there is no indication when a new site will be opened.

It all goes to make the closure decision baffling and it is unacceptable to ask residents to drive 10 miles and may lead on to more fly-tipping.

Support your local Credit Union

Yesterday was International Credit Union Day, so I visited the Treorci branch of the Dragonsavers Credit Union. Dragonsavers is a proper Welsh co-operative with five branches in Rhondda Cynon Taf. The staff were in good spirits, despite the doom and gloom in the economy, peoples’ money is safe here. I've been a member of Plaid Cymru's credit union for years, and I've joined Dragonsavers now too.

Members of the creidt union share their finances through a mutual bond of common ownership. Affordable loans (2% which can reduce down to 1.5%) are issued to members in amounts based on how much they have saved. Loans can come in handy to pay for Christmas or holidays. Credit unions are all regulated by the FSA and are very safe ways of looking after your money. The credit crunch will have no affect on them. They are protected from the reckless behaviour that has prevailed in the City of London, and aren’t involved in any risky investments. Credit unions operate an ethical loans policy so their risks are minimised. Now is a good time to consider joining a credit union. The One Wales government has already provided publicity and support for credit unions to expand- there was a further announcement yesterday that we are aiming to give areas of Wales access to a credit union. The more members a credit union has, the more they are able to provide a greater variety of services. They'll encourage you to save, but the minimum is £1 per week, and loans are available straight away.

Credit unions offer one small step towards a less competitive and more co-operative way of living. I am glad to celebrate them today.