Banks, basically, are organizations which mainly have roles of intermediaries as well as financial market participants. Their soundness and stability has potential impact much beyond their own well being. So, the role of Board in banks is more focused on compliance, organizational ethic and strategic guidance.
Since wage developments are the most important cost factor for these company buffers, their creation is directly connected with wage restraint during economic booms. The creation of buffers is just as important for the public sector as for the corporate sector, particularly in the central government.