Mr Paatsch said most people only took part in the schemes because of the tax benefits. At Macquarie the share program was a key component of an overhaul of pay arrangements that it argued was designed to better align staff with the interests of investors. During the boom Macquarie was often dubbed the "millionaires's factory" to reflect the large bonuses paid to its bankers. This month it said it would raise $500 million by converting unvested cash bonuses for employees into shares in the bank or its listed funds, as well as an unspecified amount through a retail share purchase plan. The move needed to be approved by shareholders at the annual meeting in July and is unlikely to go ahead as it stands. "While it is still uncertain, the proposed legislative changes may lead to an adverse impact on Macquarie's ability to implement the proposed arrangements," the bank said yesterday. It said it would update the market with news of any revised arrangement.