Can wild CEO pay be tamed? Probably not

There's a very simple solution to this problem - its called progressive taxation.
People who make alot of money pay more in taxes (CEOs or otherwise) as a percentage of the income above a certain amount. The problem in most western countries has been something called bracket creep where the middle class ends up in the top tax bracket as incoems rise into higher marginal tax brackets.
The other problem is that rich people (CEOs included) are very effective at lobbying their buddies in govt to create loopholes so they end up paying even less in percentage of income than you and I .... Anyone remember Warren Buffet.
The finall solution is not to allow corporations to expense CEO/excutive/board compensation as a business expense - it would therefore be taxable - and alot less acceptable to majority sharholders to pay 500 million in after tax dollars.
This is not about "rewarding" business success or getting the best - most of these companies run themselves - the main role of the CEO is to meet the politicians, bankers and run the AGMs/committees .... these companies dont really compete in the tradiational sense of the word - they collude, they try to pinch a tiny fraction of market share, wring more profit from us poor slobs who either buy / work for them - the only time we really hear about them is when they blow up - so give me a break - I dont think anyone is worth $500 million / year - except maybe Jesus - and I don't think he'd take it!
Its time to end this ridiculous experiment in Trickle Down "reaganomics" which has basically destroyed the economy and the middle class within 20 years (forget about the poor) - John McCain - it doesnt work - it never has worked - and it never will ... but its been awfully good for people who can't remember how many houses they own!

1 vote

#1.16 - Wed Oct 1, 2008 11:25 PM EDT

Kathy Marino

I feel that the pay outs that the CEO's are getting after they cause their companies to fail and by the way caused all this mess we are in. to have to pay all this money back. Stop the parachute payments now. I feel the FBI should be investigating all the polititians. Senators,all the elected officers including the Bush adminatration. We the people need to vote in all new blood into these offices. And do it now.GOD BLESS AMERICA!!!!!!

#1.17 - Thu Oct 2, 2008 6:29 AM EDT

EricW66

This was the silliest article I have read this week. The holes in this argument were so big I can not even believe your editor did not throw it in the trash . . . but I guess the Internet allows anything to get printed nowadays.

First, CEOs get paid the same as everyone else: what they can negotiate and what the market says they are worth. Now before you jump up and down yelling, "but these CEOs screwed up companies and got paid large bonuses", for many CEOs it is more economical to pay them out of their contract, get rid of them and get new blood. For example, is it better to hemmorage billions of dollars with a CEO who's time has come, or to pay him a few hundred million to get rid of him/her? As a shareholder, I would vote for the latter.

The other big problem is that if you adjust the CEO salaries on your graph with the CPI (by the way, that is consumer price index), you will find that your story just became mundane.

If you tell the truth, it won't be very interesting reading though, would it?

#1.18 - Thu Oct 2, 2008 2:51 PM EDT

While its true that there is nothing illegal or unethical in CEO pay today - that is th whole problem. However, lets stop pretending these two things:

1. Executive Pay - in particular stock options and bonuses - is none of our business. This mess that we are in is, as noted in the article, directly related to the implementation of these practices. If we intentionally misrepresent things at work to get more pay its called "embezzlement" and "fraud" but somehow this gets lost in transaltion when it comes to executives

2. Government cannot discourage this behaviour through taxation and regulation. If government had done their job here we wouldn't need to waste trillions to fix the credit markets.

So all the "free market" guys will tell us that this is just the market reacting to economic conditions, that CEO pay is not a problem since it is competitive, no laws are being broken - it is a culture of greed and criminal behaviour mixed with a failure to regulate which has brought us here - frankly if we ran the election as a referrendum on a hard cap on income at 2million per year (the rest would be taxed away) with a reduction in tax for the rest of us .... and a similar 10 million cap on estates, I doubt highly the opposition to this policy would get many votes ....

#1.19 - Fri Oct 3, 2008 11:11 AM EDT

kandie74

Myself, as a normal layman, knows if you don't have it don't spend it. If your company tanks tough. You do not get to take a large part of the company profits with you. My husband and coworkers, I opted not to start my 401k when I started my current job, all have there 401k's at Merril Lynch. (oops) This bailout is a crock. If they could not manage the company to begin with WHY OH WHY on God's Green Earth would you be stupid enough to believe giving them more would help. These people are not pre-schoolers who you hope will turn out to be good citizens if you show them love and support. If I don't make enough money one payday I don't go to the movies, I do not go out and by me a new Prada Bag. Quit paying all the CEO's for mistakes. NO BAILOUT, Suck it up.

#1.20 - Wed Oct 8, 2008 1:02 PM EDT

SursumTX

Why is it that in other developed countries, executive pay is something like 20 times the average workers' pay? What do they do differently than the US does?

4 votes

#2 - Wed Oct 1, 2008 11:55 AM EDT

StormAZ100

Require responsibility maybe? Have some accountability? That's a concept!

3 votes

#2.1 - Wed Oct 1, 2008 12:13 PM EDT

Congress wants to crack down on CEO mega-salaries for banks participating in the bailout. And while the politicians argue how best to do that, Alan Fishman of Washington Mutual is headed for the doors with $19 million in his pocket.

If that wasn't outrageous enough, consider this: Fishman started the job three weeks ago. I never saw the employment ad Fishman answered, but it must have read something like this:
WANTED: Top executive for train-wreck bank about to be seized by federal regulators. Must be able to look busy while FDIC sells business from under you. Previous experience with angry shareholders sitting on worthless stock a plus. Perks: $7.5 million hiring bonus and $11.6 million cash severance.

Fishman got the best temp gig in history.

I also sent this to my Two senators this morning.

1 vote

#2.2 - Wed Oct 1, 2008 12:17 PM EDT

wildweasel66-358178

what they do differently is called 'central planning'. that's why europe, with the exception of the UK, has not created a net new private sector job since WWII.

working and middle class citizens pay a tax rate of 40-65% to support this enlightened society (PriceWaterhouse Coopers 2007 Worldwide tax guide, at your accountants office). however the corporate tax rates in those countries ranges from 10% (ireland) to 30% (france). (same PwC tax guide)

does that make any sense either?

1 vote

#2.3 - Wed Oct 1, 2008 2:08 PM EDT

Barbara-314233

It amuses me when they say they need to pay these exorbitant salaries to attract "the best and the brightest"....who then drive the companies into the ground. Obviously they weren't so bright.

These same CEOs claim they deserve this high pay because they are sooo important and integrally involved in everything their company does. Then when they are called before Congress because their company messed up they claim it wasn't their doing. How could they know what the people outside their corner offices were doing???

It is all a scam.

2 votes

#2.4 - Wed Oct 1, 2008 2:20 PM EDT

Incydius

Perhaps in some of the other countries, when they pull the crap they do here, they just get taken out front and shot....
Which is exactly what all of them deserve, but only after all of their assets have been siezed.
With what they can make from ruining so many peoples' lives, I'd have no problem with any of their summary executions as their "reward" for sitting back, laughing and getting fat while they trashed the economy. They want that kind of pay, then it should be included in all of their contracts as a consequense of such failure....
THEN see how quickly they're willing to sign on for all them perks.

And the same should go for all of these politicians that have done nothing but aid and abet them along the way, and now want to bail them out at even more of our expense.

#2.5 - Wed Oct 1, 2008 8:30 PM EDT

Progressive taxation - why pay a CEO 500 million when it all goes back to the govt anyway ...

Look at Scandinavia ....

#2.6 - Wed Oct 1, 2008 11:27 PM EDT

Jimbo-427103

If these businesses want to pay thier top dogs mega millions okay let em.. HOWEVER - - since for all intents and purposes they are being paid as they leave for doing a job that they failed at - not ONE CENT of that "package" better come from tax money (the bailout).. I repeat - NOT ONE CENT of Tax money to go to these overpaid buffoons who act like we owe them favors.. We owe them nothing!!! Between political maneuverings in prior administrations in the name of political correctness - and just plain greed - they have brought on this problem to begin with.. Rewarding them with tax money for failing would be a travestry of justice and fairness.. We - the long suffering taxpayers deserve better....

#2.7 - Thu Oct 2, 2008 8:18 AM EDT

George53

And the goverment wants the tax payer to bail out these companys??? OUTTA THERE MINDS

3 votes

#3 - Wed Oct 1, 2008 11:55 AM EDT

Andyb-300124

SCREW THOSE PEOPLE!

NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE,NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE, NO BAIL-OUT, NO RESCUE,NO BAIL-OUT, NO RESCUE,NO BAIL-OUT, NO RESCUE,NO BAIL-OUT, NO RESCUE,VNO BAIL-OUT, NO RESCUE,NO BAIL-OUT, NO RESCUE,NO BAIL-OUT, NO RESCUE,NO BAIL-OUT, NO RESCUE,NO BAIL-OUT, NO RESCUE,NO BAIL-OUT, NO RESCUE,NO BAIL-OUT, NO RESCUE,NO BAIL-OUT, NO RESCUE,NO BAIL-OUT, NO RESCUE,NO BAIL-OUT, NO RESCUE,NO BAIL-OUT, NO RESCUE,NO BAIL-OUT, NO RESCUE,NO BAIL-OUT, NO RESCUE,NO BAIL-OUT, NO RESCUE,NO BAIL-OUT, NO RESCUE,NO BAIL-OUT, NO RESCUE,NO BAIL-OUT, NO RESCUE,NO BAIL-OUT, NO RESCUE,NO BAIL-OUT, NO RESCUE,VNO BAIL-OUT, NO RESCUE,VVNO BAIL-OUT, NO RESCUE,NO BAIL-OUT, NO RESCUE,NO BAIL-OUT, NO RESCUE,NO BAIL-OUT, NO RESCUE,NO BAIL-OUT, NO RESCUE,NO BAIL-OUT, NO RESCUE,NO BAIL-OUT, NO RESCUE,VNO BAIL-OUT, NO RESCUE,

6 votes

#4 - Wed Oct 1, 2008 11:56 AM EDT

katzgar-420703

I'am sorry. What is it you are trying to say?

4 votes

#4.1 - Wed Oct 1, 2008 12:03 PM EDT

real packer fan

All work and no play makes Andy a dull boy.

#4.2 - Wed Oct 1, 2008 2:21 PM EDT

When you say Screw These People, I assume you are referring to everyone who does business, is employed, or has money invested in the US, correct? Because ignoring this problem will affect EVERYONE, not just the handful of people who ran these banks into the ground. If the economic problems escalate and healthy banks tighten up credit, don't be at all surprised if your employer has trouble meeting weakly obligations like operating expenses and payroll.

#4.3 - Wed Oct 1, 2008 3:19 PM EDT

marty-407767

love it!! :) Thanks you made mt day!

#4.4 - Wed Oct 1, 2008 10:03 PM EDT

Jimbo-427103

How eloquent Andy....

#4.5 - Thu Oct 2, 2008 8:19 AM EDT

BABS PA

AMEN, BROTHER - YOU ARE SPOT ON - NOW WHAT'S IT GOING TO TAKE TO DO SOMETHING ABOUT IT? SHAREHOLDERS SHOULD REVOLT - ANY GOVT ORGANIZATION i.e. FANNIE/FREDDIE PAY SHOULD BE CAPPED SO THESE BASTARDS CAN'T WALK AWAY WITH MILLIONS WHILE YOU AND I END UP PAYING FOR THE BAILOUT!

PUT UP THE BARRICADES, MARCH ON DC, LIKE THE FRENCH, IT'S TIME FOR A REVOLT!!

#5 - Wed Oct 1, 2008 11:56 AM EDT

GOZO-unlimited

Just don't invest in companies who are unwilling to rein in HUGE compensation packages....If you don't invest in the companies,there will be no money to pay out. Investors need to stop blindly investing in mutual funds or any other package portfolio, your 401k will never amount to anything anyway. Take control of your own investments and stay with bonds or treasuries. Send a loud message to these criminal companies and try to avoid buying their products and working for them. PUT THEM UNDER!!!!!

2 votes

#6 - Wed Oct 1, 2008 11:56 AM EDT

capol21

that would be everyone

#6.1 - Wed Oct 1, 2008 12:34 PM EDT

OK. So I won't invest in ANY mutual fund without checking every day to see what companies the fund managers are investing in...

The bottom line is I want my investments to be positive which requires the companies that I invest in to make money. If the company can make money, what do I care what the senior managers get paid or what their benefits are?

#6.2 - Wed Oct 1, 2008 3:21 PM EDT

stabacco

So much for the trickle down theory!!!!!!!!!!!!!! If companies had given their employees raises more than just the 3% that has been the norm since 2003 we might not be in this situation. Think about it. Employees getting paid more means that they have more money to spend, more money so they can make their MTG payments. This would mean that the meltdown that we are seeing right now would not be happening. Unfortunately people get greedy and that is exactly what happened. CEO's figure that they are more important than your average worker. Well as we can all see that is not so. And do you think that they will learn from this. HAH I DON'T THINK SO!!!!!!!!!!!!!!!!!

3 votes

#7 - Wed Oct 1, 2008 11:57 AM EDT

Fisherman144

The Republicans; "Oh that will never work....besides, we can't make any money on a deal like that!" Trickle down only applies in outhouses.

3 votes

#7.1 - Wed Oct 1, 2008 12:09 PM EDT

StormAZ100

Strangely enough, this is exactly what happened prior to the great depression in 1929: During the 1920s, productivity went up increasing corporate profits. Salaries of the workers did not share in this profit creating an increasing gap in wealth distribution. In addition, the Coolidge administration favored business and the wealthy who invested in business. Increasing tax cuts for the wealthy fueled the gap between the well to do and the middle class, and ultimately whacked out the balance between supply and demand to the point the economy became unstable, and we crashed and burned.

Sound familiar? Call it rescue or bailout, this is a bad bill, and it will not solve anything! It should not be passed!

1 vote

#7.2 - Wed Oct 1, 2008 12:30 PM EDT

waynef415

The only trickle-down that appears to be working here is when the CEO's piss on all of us on their way out the door.

5 votes

#7.3 - Wed Oct 1, 2008 12:36 PM EDT

TigerGuardian

Employees are expendable to CEO's. Instead of realizing that without decent employees they would not even have a business. When they want to cut back- where to they make their cuts- the employees! Downsizing, relocation jobs to cheap labor countries, cutting benefits. You don't see any of the CEO's taking a hit.

2 votes

#7.4 - Wed Oct 1, 2008 12:36 PM EDT

Shan-man

The companies started to feel the crunch and therefore the CEO's won't be inconvenienced by "giving to the lowly workers" any more than a 3% raise (mostly LESS!). In the case such as this SHMO, the bonus he recieved could probably make all the employees happy by giving it to them. While he could go without the bonus and still NEVER feel the pain that we AVG Joes do!

1 vote

#7.5 - Wed Oct 1, 2008 12:39 PM EDT

The problem is that people of all income levels bought houses that were far to expensive and took out interest only loans with variable rates. They believed that their house would build equity and that they'd be able to get a fixed rate mortgage before the rate went through the roof. They made the mistake of assuming that real estate always goes up in value. The banks were sloppy and greedy and gave mortgages that were doomed to failure if the economy took a turn for the worse. Bad decisions on all fronts led to this problem. Most of the people being foreclosed would be in the same situation if they received double digit raises.

#7.6 - Wed Oct 1, 2008 3:28 PM EDT

Richard-305957

This one has the be the WINNER of the ALL!

Washington Mutual is headed for the doors with $19 million in his pocket.

By the way, he was on the job for Three (3) Weeks.

4 votes

#8 - Wed Oct 1, 2008 11:58 AM EDT

Fisherman144

Typical....He must know McBush.

1 vote

#8.1 - Wed Oct 1, 2008 12:09 PM EDT

pffft!

I hope he "gives back" $0 to charity.

#8.2 - Wed Oct 1, 2008 12:33 PM EDT

Susan-596457

I agree that this one particular situation sounds absolutely absurd. But remember, this individual employee, only having been on the job for 3 weeks, was not the cause of the failure.

#8.3 - Wed Oct 1, 2008 3:38 PM EDT

piglizard420

Any company that can not meet its obligations should, in no way , be awarding a CEO that is leaving ... regardless of the tenure.

1 vote

#8.4 - Wed Oct 1, 2008 9:28 PM EDT

no hes not responsible for the situation - we are - for dealing with corrupt criminal corporations and politicians who have created this mess - and expecting them to fix it!!!! talk about stupid - to keep doing the same thing and expecting a different outcome ...

#8.5 - Wed Oct 1, 2008 11:36 PM EDT

ewent

The underlying factor in all of this greed is not a CEO paycheck. It's crooked venture capitalism that says it's okay to let a corporation fail, employees lose their jobs and still reap billions. These guys didn't take CEO positions for any reason other than to force corporations to fail, knowing that the government would bail them out. That's the lesson we are learning. Bush Sr. bailed out the Savings and Loans, including his son Neil's Silverado Bank. What would make these titans of Wall Street finance think they couldn't pull it off a second time with a second Bush at the helm?

They weren't in it for the business. They were in it to sell out the country by selling out business.

3 votes

#9 - Wed Oct 1, 2008 11:58 AM EDT

wildweasel66-358178

pssst! ewent...ferdinand st james wrote the s&l deregulation legislation in 1979, carter signed it. the banking and s&l industry all warned him not to include certain provisions-the very ones that led to that debacle.

it merely came home to roost in the 80s.

btw, st james took a position as ceo of the s&l industry trade organization a few years later at a pay of $5 mill per year. still has the position-$11 mill per year. all this for writing the legislation that tanked the s&l industry in this country.

google his name, "brokered cd's", and "goodwill as equity".

2 votes

#9.1 - Wed Oct 1, 2008 12:11 PM EDT

Are you serious? CEOs took positions intending to put the companies out of business? REALLY? Does that apply to all CEOs or just ones in the banking industry?

1 vote

#9.2 - Wed Oct 1, 2008 3:31 PM EDT

Andyb-300124

Ahhh..I feel better now :-)

#10 - Wed Oct 1, 2008 11:58 AM EDT

gayle-406269

I agree, I think it's outrageous that the CEO's get the big payoff yet the regular working guy pays the price. If the government wants a 'bailout' go collect all the millions paid to the CEO's who mismanaged their companies instead of rewarding them. If I mismanaged my household finances no one would be standing here with a bailout. In fact in our little town the utilities are going out of sight because of Government mandated programs regarding arsenic levels in our drinking water with no funding to take care of the problem. If they want to 'help' someone help towns who are struggling because of their demands...but I digress. If a CEO runs a company in the ground instead of getting the big bonus it should be retained by the company to shore them up.

3 votes

#11 - Wed Oct 1, 2008 11:58 AM EDT

pffft!

hahahaha government mandates costing to much? Welcome to the U.S. hahahahaha

#11.1 - Wed Oct 1, 2008 12:35 PM EDT

If you mismanage your household, you are in fact entitled to government bailout just like every one else. Of course you won't be reimbursed for everything you squandered but you will be eligible for various forms of public assistance and allowed to write off lots of debt, etc.

#11.2 - Wed Oct 1, 2008 3:34 PM EDT

This is a public service announcement
With guitar
Know your rights all three of them

Number 1
You have the right not to be killed
Murder is a CRIME!
Unless it was done by a
Policeman or aristocrat
Know your rights

And Number 2
You have the right to food money
Providing of course you
Don't mind a little
Investigation, humiliation
And if you cross your fingers
Rehabilitation

Know your rights
These are your rights
Wang

Know these rights

Number 3
You have the right to free
Speech as long as you're not
Dumb enough to actually try it.

Know your rights
These are your rights
All three of 'em
It has been suggested
In some quarters that this is not enough!
Well..............................

Get off the streets
Get off the streets
Run
You don't have a home to go to
Smush

Finally then I will read you your rights

You have the right to remain silent
You are warned that anything you say
Can and will be taken down
And used as evidence against you

Listen to this
Run

RIP Joe Strummer 2006

#11.3 - Wed Oct 1, 2008 11:44 PM EDT

Heather01

I believe if they are asking for a government [hand]-bailout, then they have a need to be governed. You can't reward oversight and bad business with that kind of salary, period. How can they justify taking home that kind of money when their firms were reporting consistent losses?! It does not make sense!

If Congress writes another Bill, they had better expect that We The People will NOT support it unless there are provisions to CEO salaries. Salaries reflect productiveness, bottom line.

2 votes

#12 - Wed Oct 1, 2008 11:59 AM EDT

StoneCold-363654

Only problem with your argument is that Congress doesn't give a rat's ass what your opinion or mine is. They're going to support whatever legislation serves their own and/or their party's interest. You don't support the bill? Who cares as long as the whores in Congress get theirs. The only difference between a whore and a Congressman? If a whore takes your money, she gets screwed. If a Congressman takes your money, YOU get screwed.

I believe that if enough people get pissed off, there WILL be a revolution in this country. And I believe we're almost there.

1 vote

#12.1 - Wed Oct 1, 2008 12:36 PM EDT

You are assuming that the government is REWARDING the company for doing a bad job. Let's see what the details are.

#12.2 - Wed Oct 1, 2008 3:38 PM EDT

Incydius

A 2nd Revolution is long overdue, and I only hope to live long enough to see it happen.

#12.3 - Wed Oct 1, 2008 8:37 PM EDT

socialcapitalist

If, and only if, taxpayer money is provided as a guarantee, subsidy, or bailout for a company would a limit on, or regurgitation of compensation by, the executives of those and only those companies be appropriate. The owners, shareholders, boards of directors, etc. have responsibility for setting compensation of executives in all other cases.

#13 - Wed Oct 1, 2008 11:59 AM EDT

JohnS-525753

Let

#14 - Wed Oct 1, 2008 12:00 PM EDT

EYE4EYE

Typical, if I screw everyone the government will take care of the left overs. after all I didn't doing anything while I was here it was the mail boys job to run the company. I say take thier riches and sell their assests and make partial back payments. If they try to hide the loot they stole, they should be sent to prison. This is white collar crime. If I stole a pencil they would have me fired or if I stayed ome with my sick wife because no else could do so, they would have me fired. If they have investments, seize those as well, they shouldn't beneifit, from turn solvent companies into rumble!

Pissed in Idaho!

2 votes

#15 - Wed Oct 1, 2008 12:00 PM EDT

JohnS-525753

Let's pay them with the bad debts everyone is inheriting. Let them collect the money .

#16 - Wed Oct 1, 2008 12:01 PM EDT

Right pay them with toxic mortgages. Not us.

#16.1 - Wed Oct 1, 2008 12:22 PM EDT

Steph123

So, according to one "compensation expert", these CEO'S have been "the best and the brightest"? May heaven help us all.

3 votes

#17 - Wed Oct 1, 2008 12:03 PM EDT

Mystery Medic-548758

If these are the "best and brightest," I'd hate to see the worst and most stupid! Sounds like the best and brightest are being picked from the shallow end of the gene pool.

#17.1 - Thu Oct 2, 2008 1:54 PM EDT

SoCal-406312

Yep, that's right, the Dems and the Repubs are going to fix the poor CEOs pay. Nothing you can do about it. The political elite are going to do what they need to do to stay in power.

You have to stay happy. The CEOs are paid to take the big risks of having more money than you can imagine, access to personal jets, expensive cars, hookers, high price elite schools for their children, executive health insurance, 24,000 square foot homes, and so forth.

On the other hand: You are paid for your hourly job or maybe you are a "supervisor" salary, is very low
that you don't have to take risks as you enjoy the pleasures of layoffs, grease fires, cash drawer robberies at gunpoint, accidents while you drive the truck, and lack of health insurance. You get to share a bedroom with another person, drive a car that is worth less than the cost of a oil change. But you have no risk, right? RIGHT?

Be happy, you are free to do what you want as long as it is cheap and makes the CEOs lots of money and keep the political elite in power.

The political elite will give your tax money to the CEOs who will continue to bet it on credit default swaps and similar instruments.

HAPPY :)

1 vote

#18 - Wed Oct 1, 2008 12:03 PM EDT

Sichuan

Greed. It's all about greed.

1 vote

#19 - Wed Oct 1, 2008 12:03 PM EDT

carroll berg

I think we as Americans have a problem I'm not sure exactly what the problem is, but I think it strange we get upset when we pay four dollars a gallon gasoline, but don't say a word when they buy bottle water for far more, bottled water wow what a country. Oh now it's what we pay CEO'S how about baseball players, football players, and other athletes, why is it no one seems to mind those salaries. oh it does affect the price you pay for the tickets. It just seems strange what we Americans decide what to be upset with. I almost remember a war was the big issues in the current political race, but the pocket book quickly made us forget. I'm not complaining, I gave six years of my life for my country, the last fifteen in an Army Hospital and five months of that in a coma. Maybe that why I think Americans our strange.

#20 - Wed Oct 1, 2008 12:04 PM EDT

Tad-401841

The difference is the pro athletes didn't screw up our economical and financial situation as these execs have done with their greed and risky gambling in bad mortgage debts.

#20.1 - Wed Oct 1, 2008 12:11 PM EDT

Karly Fiorina tanked HP almost and walked away with 40 Million. She is an economic adviser to McCain and was in Bush's inner circle. She got bounced from Hp with a parachute and got bounced from McCains campaign for shooting her mouth off about who was qualified to run a large corporation. I worked for a large corp which was bought by a holding company. They hired some yo yo from an unrelated company to run our company. The were going to build it up the sell it. Products we produced with high quality were now produced ship shod and they ended up firing him as we continued to lose market share. He walked away with 11 million severance plus he was making 5 million a year. First thing he did when he got there was cut every ones salary. Best and Brightest my behind.

2 votes

#20.2 - Wed Oct 1, 2008 12:30 PM EDT

alfie-omega

Oh now it's what we pay CEO'S how about baseball players, football players, and other athletes, why is it no one seems to mind those salaries. oh it does affect the price you pay for the tickets. It just seems strange what we Americans decide what to be upset with.

Anyone remember the baseball strike of 1994? Owners wanted a salary cap but the players didn't? I remember a lot of grumbling by the fans about the outrageous salaries that the players (in all sports) were receiving on top of the price of tickets, hot dogs, etc...A lot of people then were talking about boycotting major sports back then (that is after the strike was over) but did it happen? No! Why? Because, we, as Americans, have shown that the adage "Time heals all wounds" is especially true for us. I also like to think the new American form of that saying is that "Time heals all wounds and makes us forget!" How many times have we been caught up in the moment of a thing and have been morally outraged about it, only to have a few weeks or months go by and we all go back to business as usual.

Now I don't want to be a pessimist, but if Americans can't even boycot major league sports by not attending games, how are we going to boycott major corporations that have their fingers deeper into our pockets than any sports franchise will ever have. I'd love to see it but I also only give it a few months and everything will be back to business as usual.

I can almost hear it now. "Bailout. What bailout? Oh, that economy thing a few months ago."

2 votes

#20.3 - Wed Oct 1, 2008 1:57 PM EDT

Incydius

It's not that people "forget"....

It's just that almost one is willing to go thru any inconvience to themselves, in order to try and make such changes happen.

#20.4 - Wed Oct 1, 2008 8:42 PM EDT

piglizard420

I, for one, am trully apalled at the salaries you mention also. Alot of this is America's obsession with celebrity.

I also agree that this will pass so quickly. This is just business as usual in this great country of ours!

#20.5 - Wed Oct 1, 2008 9:37 PM EDT

Sean-551828

That's what I have been saying this whole time. Our government should not have even entertained the thought of making good on a golden parachute… Our elected officials should have employed provisions making it clear to these financial institutions that if they had to help them out at all, all golden parachutes were null and void. Then build a bailout plan from there. That is a solid foundation to start from, I believe the American people would be a lot less apprehensive to a bailout if those golden parachutes were not involved, and guarantees that the money was going to the economy instead of fat cats pockets.

3 votes

#21 - Wed Oct 1, 2008 12:04 PM EDT

Jim-597768

My parents raised me to be self sufficient, responsible and accountable. Who raised the people on Wall Street-Mr. and Mrs. Greed. The American dream of being fiscally responsible and saving for retirement has been crushed. How will we ever recover the money we have lost and pay for the bail out? Retirement at 65 has become a pipe dream. I plan on voting every politician out of office until someone gets it right, forget party politics-the party is officially over.

#22 - Wed Oct 1, 2008 12:05 PM EDT

GOZO-unlimited

Ford is down because people are fed up with large corps that offshore their companies and avoid paying taxes......we are fed up with large compensation packages and ridiculous designs with low performance......face it.....American Auto Co's are done!!!!!!!! You may want to contribute their demise to lack of financing......but NO ONE WANTS THEM......GET REAL!!!!!!

#23 - Wed Oct 1, 2008 12:05 PM EDT

cityofangels1

As much as I hate the idea of high paid executives of failed companies walking away with giant sums of money, I hate even more the idea of the Federal Government regulating corporate salaries and compensation. Please remember that we are not socialist. Perhaps we should just revert back to the good old days when a nice tar and feathering would do the trick.

2 votes

#24 - Wed Oct 1, 2008 12:06 PM EDT

This package is the largest socialistic package ever offered in the US. If I ever hear social conservative again I will puke.

#24.1 - Wed Oct 1, 2008 12:33 PM EDT

Get It Right-597772

Any elected offical voting to utilized tax payers money to bail out these companies need to be removed from office....

1 vote

#25 - Wed Oct 1, 2008 12:07 PM EDT