Can wild CEO pay be tamed? Probably not

"If companies want to attract the best and brightest, they have to pay CEOs competitively, says Craig Rennie, finance professor in the Sam M. Walton College of Business at the University of Arkansas."

Best and the brightest, really? These people who have run the stock market into the ground? How about greediest and the laziest?

Every time someone wants to put pressure on companies to have CEO's pay brought back to a reasonable level the "experts" bring out those old tired lines such as "the marketplace sets the pay" or "in order to attract the best you have to pay top dollar".

What a superior crock of BS. First off, if these guys are so good, why are so many companies going under? At least if the guy in Vegas bets his life savings on the craps table he has to face up the prospect of living in the street if he loses. For these clowns it is Heads I win, tails you lose.

These overstuffed suits cannot by themselves turn a company around. They have staffs and consultants and a thousand "peons" who do all the legwork and they take the credit. Most of the time they do not come up with innovations to make their business better. They fall back on the old tried and true, lay people off, make the rest work that much harder. Another stale idea that gets used is to throw the workforce out on the street and move the company to another country. Customer service goes into the toilet because you can't understand the person on the phone between the accent and the thousand other guys in the room talking at the same time.

Why in the hell should I work my ass off, take a pay cut to keep the company that they have run into the ground, alive when all that is going to happen is I get to watch the board and executives vote themselves fat raises. You wonder why the service at American Airlines tanked? It went south for that very reason. Hell you shouldn't get a bonus for running a company in the ground then fixing it. Do you pay a mechanic extra because he messed up fixing your car and then had to repair his screw-up? I don't think so. You find another mechanic.

It is a nice cozy incestious family in the boardroom. It is not going to change anytime soon.

AndyB.- what does the bail-out have to do with this? Nothing.

While I agree that these salaries are shocking, many of you don't realize that it is less than a quarter of a percent of some of these companies revenues. Do you really think that someone who oversees operations of a company with revenues in the 100 billions should be compensated like you and I. Many of us now just roll our eyes at athletes salaries. We may justify it with the knowledge that few are born with their physical charactersitics and even fewer have the work-ethic and drive to truly become elite. Now imagine the reality of the situation, most of these CEO's are controlling a company that makes more revenue than the Dallas Cowboys, New York Yankees, and Los Angeles Lakers combined.

So you are trying to tell me that a CEO should be paid less than a baseball player?

I do agree that their should be some penalties for failure that eliminate golden parachutes to underperforming CEOs.

CEOs are way overpaid and that is a fact. They take profits away from shareholders and workers so the company can affort to pay the CEOs and that is why the income gap between CEO & workers grows so much the last decade. Worse the pay is not based on net profit but on gross sales, market share, mergers, outsourcing to other countries and ..... which are misleading and loss of jobs in North America while workers in countries are being exploited so the savings can all go into the pockets of the CEO. I know people working in the banking industry for over 20 years and still not making $40,000 a year while the CEO of the banking industry is being paid how many millions a year?

Also so often I heard people saying that good CEOs are important to the corporation, shareholders and workers so they have to be paid the fair market value in order to attract good CEOs' Pardon me, the US has a president elected every 4 years for a maximium of 8 years term (2 terms) and I don't see the country go bankcrupt when there is a change of president. God has made a lot, and it is a lot of intelligent people, not only a few CEOs. Besides as the president of the United States making decisions based on information provided by various departments of the country, CEOs make decisions based on information provided by the people working in the company so the success of a comany depends on the people working in the company as a group, not just one CEO.

I stop investing in stock market since Sept 11, after I realized how much CEOs are getting. I am a fool to invest in stocks because one I bought the stock, my money goes into the pocket of the CEOs' rather than the company for investments and for hiring good workers. I rather invest in GIC, yes it is low but the money would not be the pay for the CEO and I have guarantee income from my investment.

The reason why "government's attempts have been ineffective in curtailing CEO riches," is because the government gave corporations too much power to BEGIN WITH. Of course it's nearly impossible to do so! Government and corporation have practically merged!

cityofangels1 said: "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."

So holding these people accountable is "socialism"? Oh, yes... the holy Free-Market. Unfettered Capitalism is the best humanity has to offer! Yeah, right.

Look where that mindset got us.

At least pro athletes earn their salary. I think a chimp could do a better job at running Wa Mu. I would do a better job for 1% of the CEO's salary. Many of these corporations earn the revenue on their own without CEO help. Do really think that the Exon CEO increases gasoline sales? The answer is NO.

The big payouts can stop..... it's up to the who ever is hiring them.... which by the way who the helll is hiring them at these crazy salaries?

We need a president and a government who are not afraid of anyone. We need someone with some backbone that won't let these companies and their CEO/Board of Directors get us into this mess. We need someone who will look at them and say "you got yourself into this now get yourself out". The government needs to protect the American Citizens against baloney like this. Those fat cats are sitting pretty while the average citizen cannot pay their bills. Hopefully someone will come up with a solution that will help the people that are really hurting in these times, not the people who are sitting on millions/billions of dollars!

Lehman Bros.' Richard Fuld, $40 million.
Merrill Lynch's Stanley O'Neal, $46 million.
Bear Stearns' James Cayne, $40 million.
Freddie Mac's Richard Syron, just shy of $20 million.
Fannie Mae's Daniel Mudd, $12.2 million.

The government can't step in and control private companies from offering these deals - but, if they get a government hand out then they are - or should no longer be private companies and should, therefore, be adherent to new rules. If these CEO's get bonus's for failing then the board that hires them is taking their stockholders for a huge ride! Greed - You would hope that these people above would be ashamed of themselves - but, the truth is - they are laughing all the way to the bank. If the government passes this bailout bill without any "new rules" for companies that take advantage of our taxpayer generosity. But, I will be watching along with alot of other Americans to see who's Representative and Senator votes for this one - We do have to take control. Be mindful of how you vote. Pay attention to what they do rather than to what they say!

We can't stop or control what private companies pay - but - what if the IRS taxed them back to 10 or 20 times the average workers pay???? Call it the You're to much of a Fat Cat tax.

You people must be kidding right? Bored? Stupid? Complacent?

I have been reading these BS Blogs ever since this crisis started. The same rhetoric over and over again vote it will change!!!!! It's the Republicans........ It's the Democrats...... It's the Liberals.... It's................the Blame game!! It's called Corruption Folks none of this happened without the full participation of all. It started back in the Roman days and look what happened there. The ultimate fix will happen with the new election?? Garbage, they have been playing the bait and switch game along with the smoke screen and mirrors from the beginning. One Crook out and the next buddy Crook in?? and it's not going to change until THE PEOPLE CHANGE IT! WE were the most powerful nation in the World until THEY decided to stick their nose in everyone Else's business.

Let's fund their success with money and technology with no accountability!! or repayment!

Let's Police the globe at our expense and rebuild these Countries Bigger and Better!!

Let's fund wars and kill our children while the elites kids are exempt for the most part, and the rest of the World benefits but has no down side!

Let's clean up the Globe at our expense when our backyard reeks of filth, lets educate the Globe when we have illiteracy here beyond belief, lets feed the Globe while our people starve so they can make more babies to feed. Let's give medical and prescriptions to the globe when we have sick and needy here!

Let's finance the Globe interest free, and with no repayment and borrow back from them at enormous costs, and guaranteed payments!

Let's blow money on everything imaginable but can't meet our needed or responsible obligations because we don't have the funds. Pollution, Roads, Infrastructure, Etc.........

Let's sell cars and trucks that get 60 + mpg abroad and closet the technology here!! Then spend outrageous money on fuel and energy for the fuel guzzlers because we are IDIOTS and dependent like junkies while we sell our energy cheaper than we are purchasing it for??

Let's buy foreign oil and products to save ours for a rainy day.......it's Pouring Here!! If the tree huggers don't like it, let them foot the bill for the resources they don't want us to utilize here!! Furthermore the oil that exists isn't partial to the country drilling for it. It's like an aquifer and because you suck it from afar doesn't mean it's not being sucked out of your well??? DUH We are going to let???.... drill off the Florida coast for oil CUBA and when the Natural disaster happens our upside is what??? Cleanup of our shores!! Brilliant!

Let's spend money like there is no end to it! Every Administration of late...hmm there is an end? Now lets make more and tag it on the people here to repay it? Oh yes our upside will be debt but when you go to borrow it you will be treated like a criminal and probably not get it! Hmmm.. savings and loan bailout in the 80's and trying to get loans after that?

Let's screw the Elderly that provided the very umbrella of freedom we live under..... Nice! Let's screw the retirees and take away their Social Security, Medical Care, Prescriptions, Housing and give it to the Globe and Foreigners!!!

Let's supply welfare and free money to every lazy SOB that wants it. American or Not!!

Let's give up our pledge of allegiance to our flag because it offends some ass that moved here!

Let's give up in God we trust because it offends another ASS that moved here from.......????

Let's just give it all up because no one at the top has any balls... while we fought wars for these..

Let's sell bits and pieces of Our country to foreign investors and our Markets..... Hmmmm

Let's blame the pawns here for the Bailout needed because they are much more intelligent than Big Brother and the rest of the Crooks that have made Billions off this debacle! Priceless!

Let's sit back while the Government, President, Wall street, etc..... except no responsibility what so ever over any of this. But boy the Bonuses were great for them!

Let's not notice the rampant unemployment created by all this, and the very people that used to be able to afford the payments but now can't! The fact that most were not living beyond their means but without employment where exactly is the means????

Let's not notice the immigration problems and the billions it cost's us each and every year that continues to rise through our inability to police our own borders! and no I'm not racist ( If you bring value to the melting pot your Welcomed! If you bring blight and trouble, coupled with expense and no upside take your sorry ass back Home!

Let's not look at the goods we purchase from abroad! Along with the OIL from Chavez that is a known terrorist supporter. And HATES US. Along with most of the GLOBE! He sells here and owns gas stations why???? Oh yeah and we solicit them as well!

Let's not look at the Support given around the Globe every time a Natural disaster hits with our money and people, to clean up, rebuild bigger and better. Which the reciprocation to us is non existent and also not shared by the rest of the wealthy Nations. Hmm they have their money! And our upside! Priceless

Let's not look at the complete funding we have given the Globe for Economies, Banks, Governments, Infrastructure ETC........ with no REPAYMENT EVER! Damn where can you get those terms as an American footing the bill for this Crap constantly!!!

Let's look at the welfare system and it's cost for generations of people that won't work. The fact that every one of us has to pass a Drug free test to get our check. And everyone getting the checks are doing Drugs all day while we are at work!.....Hmmm maybe they need to pee in a cup to get the check and if it's positive NO MORE CHECKS!!! And the list goes on here............ with costs to us!! Which leads to if you bring nothing to the table you shouldn't be able to vote you have no say!!! You have been along for the ride which should STOP!

Let's not look at the Legal system here that says if you screw up we will foot the bill and give you try after try to get it right at our families expense and safety. But Criminals have rights WE Don't!

Let's not look at the unions that were once NEEDED but several generations later all screwed up by Ignorance and Greed, Corruption, and how many bailouts have we given to the automakers because of this and their Stupidity!! And other associated businesses??

Let's not look at the all the money spent on Homeland Security that turned out to be a Farce especially when you can't profile the ones responsible because they have rights. So lets harass and make flying difficult for the working stiff and their families because this is working! Along with the rest of the BIG BROTHER CRAP that has cost us......................

Let's not look at the fact no one held a gun to the rest of the Globe to invest and enjoy prosperity off the sweat of our brows and our expense. But because the Corrupt Leaders and Rich made a Deal with the Devil and he bit their behinds it's now the sheeps fault again and our tab.......

Let's not look at the Leaders of this Country that sit on Boards around the Globe and have more special interest than you will EVER be Told by the very PRESS AND MEDIA THAT THEY CONTROL. That lie to you and tell you what you want to hear daily!

Let's not look at the Golden Parachutes given to everyone of these CORRUPT POLITICAL PARTIES FOR LIFE ALONG WITH SECURITY FOR LIFE AND A LIFETIME GOV COUNTRY CLUB MEMBERSHIP........NO POLITICAL PARTY IS EXEMPT FROM THAT!!

Let's not look at the fact they want to take your right to BEAR ARMS AWAY FOR A REASON the criminals buy guns on the street not at GUN Stores and they always will!

WHERE THE HELL IS OSAMA BIN LADEN THE GREAT ESCAPE ARTIST..............HMMMM DISNEY!!

I could educate you for hours but actually have to go to work myself so I can give more to the Corrupt Machine that spends IT like it's free money ( Ah yes, it is to them, it's OUR money!!) and they don't have to be accountable for it WE DO!!!!!!!!!!!!

Last but not least I also haven't heard anyone comment on the 634 Plus Billion dollar Budget that was passed behind the scene JUST DAYS AGO while waiting for this one to be passed! The vote count was a Joke and it will fund More War.....More Automaker bailout.........More Welfare....... More Crap!!!

Do we all get stock options for the bailout or just the bill as they Dine and Dash us AGAIN!!!

So why don't you rocket scientists that have it all figured out get out your trusty calculator and start adding up the brief list of OVER EXPENDITURES OUTLINED and give us DUMB ASSES a real tally so we can really blame the right party! How much savings will that add up to in one Day....Week.... Year....our
Kids and Countries Future?????? hmmmmmmmm............PRICELESS....... YOUR WELCOME!!!

SO IF YOU ALL THINK YOUR VOTE IS GOING TO CHANGE THE WORLD AND OUR COUNTRY. RIGHT AFTER YOU GET DONE VOTING, GO GET FITTED FOR YOUR NEW UNIFORM YOU WILL BE WEARING SOON, AND LEARN THE WORDS TO THE NEW NATIONAL ANTHEM IT WILL BE A BEAT TO A DIFFERENT DRUMMER THAN YOUR USED TOOOOOOOO!! THEN TELL THEM ,YOU DON'T LIKE THEIR RELIGION, AND WANT THEM TO CHANGE IT ALONG WITH THEIR FLAGS, ANTHEMS, ETC.... SO WE CAN BUY POPCORN AND WATCH YOUR BEHEADING IN TOWN SQUARE......HMMM MAYBE NEW YORK HAS A USE!

FOR THOSE OF YOU THAT ARE 50 AND STILL CAN'T AFFORD A MORTGAGE OR HOUSE AS I HAVE READ. WHAT THE HELL HAVE YOU DONE FOR YOUR WHOLE LIFE???? POSTED CRAP @ 2AM GET SLEEP SO YOU CAN GET YOUR SORRY ASS UP AND MAKE A LIVING THIS IS AMERICA AND THE WEALTHIEST PEOPLE ON FORBES LIST, MADE IT HERE, MOST FROM OTHER COUNTRIES AND CAME HERE WITH NOTHING........... OR WE BOUGHT THEIR GOODS...... AND SHIPPED OUT OUR MONEY.....GET IT??????

IF WE DON'T WAKE UP STAND TOGETHER AND FIRE EVERY ONE OF THESE LYING, CHEATING CROOKS REGARDLESS OF PARTY AND REBUILD WITH BRAND NEW IT WILL NEVER CHANGE!!

YOU EXPECT A BUNCH OF LAWYERS TO LOOK OUT FOR YOUR BETTER INTEREST I"M EMBARRASSED FOR EACH AND EVERYONE OF YOU!!! THEY HAVE YOU HOOK LINE AND SINKER!!! AND OUR POCKET BOOKS!!!!!! MAYBE THEY SHOULD GIVE SOME OF THE STOLEN GOODS BACK BEFORE THEY GET INCARCERATED WHICH IS WHERE THEY BELONG WITH ALL THEIR PALS.

I HAVE READ SOME VERY INTELLIGENT POSTS FROM THE VERY FEW THAT GET IT. MY ONLY QUESTION IS. WHEN WILL THE REST OF THE SHEEP GET IT AND WHY DO WE CONTINUE TO PAY FOR THEIR LACK OF KNOWLEDGE!!!

WE PAY THE LEADER OF OUR COUNTRY $400K A YEAR.....THEN FOREVER... TO RUN THIS GREAT NATION. MAYBE WE SHOULD HIRE GREAT BUSINESS MEN NOT UNDERPAID CROOKS THAT CREATE THEIR OWN BONUSES!!!!!!!!!!

WE COULD PAY 50 MILLION A YEAR PLUS BONUSES AND STILL BE FARTHER AHEAD THAN WHAT THEY HAVE JUST DONE TO US!!!! THAT MY FRIENDS IS REALITY!!!!!!!!!!! NOT THIRD GRADE HE SAID, SHE SAID!! AND FINGER POINTING!!!!! IT WOULD BE A DROP OF WATER IN THE OCEAN OF COMPARISON!

I FOR ONE WOULD LIKE TO SEE THE BIGGEST RETIREMENT PARTY GIVEN IN THE HISTORY OF THIS GLOBE AND GREAT NATION TO EVERYONE OF THESE CROOKS SOON!!!!!!!!!!

IT'S OUR GREAT COUNTRY WE HAVE JUST LET THEM @!$%# ON IT, AND US, WAY TOO LONG!!

Where's Andrew Jackson when you really need him?

"Gentlemen, I have had men watching you for a long time and I am convinced that you have used the funds of the bank to speculate in the breadstuffs of the country. When you won, you divided the profits amongst you, and when you lost, you charged it to the bank. You tell me that if I take the deposits from the bank and annul its charter, I shall ruin ten thousand families. That may be true, gentlemen, but that is your sin! Should I let you go on, you will ruin fifty thousand families, and that would be my sin! You are a den of vipers and thieves . . . I intend to rout you out, and by the Eternal God I will rout you out!" - President Andrew Jackson

This is one of the main reasons, there should be NO BAILOUT. The CEOs, CFOs, lobbyists and Washington spinners for both parties, Congress and the accounting firms and media bosses who are in bed with them ARE SOME OF THE BIGGEST LIARS AND CROOKS.

Yesterday, McCain and Bush both had to read from index cards on the bailout. Most of the people in Congress cannot even interpret a balance sheet or an income statement must less complex financial documents. These are the idiots running this country and they all need to be removed.

The markets in the foreign countries are going back up and gas prices here have gone down. The problem is Wall Street. They have allowed these fraudulent trades and practices.

It appears the average person does not realize how screwed they are about to become. We will pay the piper and the crooks will have been allowed to get richer!!!

It's time for a revolution by the people and for the people.
Get out your shovels, rakes, pick-axes and torches. Head down to Wall Street and gie these greedy stock brokers and traders a good crack in the noggin. Wake them up.
Then, repeat loudly "I'M MAD AS HELL AND I'M NOT GOING TO TAKE IT ANYMORE!!!!!!

After commenting on his wife's lovely $300,000 dress and necklace combination, John states, "Oh, Sarah Dear, we're voting today to reduce your excessively greedy CEO pay." A large frown falls over Mr. McBush's brow, "How would you like me to vote?" he queries.

"It's Cindy!" She responds aloofly from the veranda, sipping her cheap Mimosa and not really caring what he calls her, "Well Johnny, you could vote to cap it somewhere around $10M, but just get your campaign special interest & lobbyists to push for a loophole somewhere else." With a violent hair flip Ms. Anheuser Busch slithers into the room to help her husband with his comb-over. "You know, something that can be hidden in the little people's taxes. That way it will take them a while to figure it out and by the time they do, we'll be living in the Bahamas on our big fat yacht! Oh, how Keating 5!"

She continues to giggle to herself all day over her pure genius while her husband remains clueless about everything except that half-wit beauty queen runner-up he talks about incessantly.

Personally I think that the CEOs salary should be based on 2 things. 1. Obviously company performance 2. CEO salary should be capped at 20 times their corporations lowest paid worker.

The bill that is being voted on regarding stockholders being able to vote on executive salaries should make it a binding decision. The stockholders currently do not have a say in executive compensation. A non-binding vote would not help at all. Who thinks the boards will pay attention to a non-binding stockholder vote?? The boards control the compensation and the boards are appointed by the executive. Need I say more? Let's get the salary decisions in the hands of the stockholders and the boards should be controlled by the stockholders as well. When you get a proxy notice don't just sign and send. Find out who the proposed people are and don't vote for them. We need to change the boards to get a change in the mindset.
Any executive compensation should be controlled by the stockholders, not the fat cat boards and their leader.

The American middle class is under siege and the sinful high levels of CEO compensation is just another example for the contempt of corporations and government for the average American that is the foundation of this country and economy. A company has only so much cash to spread around. If the CEO and his/her cronies such up a hefty chunk of it it guess what? That's right, not enough to "trickle down" in any significant way to the people that makes thing happen day to day.
Remember unions? That's exactly what they strived to do. Create a check and balance in a company so that the average worker is compensated fairly and treated with respect and dignity. Ahhh....the good old days. Two things about human behavior we should never forget:

. most people will do what they can get away with
. when given the means and opportunity most people will be dishonest

That's why we need regulations or laws. Also, that why we need transparency and, checks and balances to prevent and counteract such outrageous behavior.

That is one of the reasons Washington Mutual is in the predicament it's in. Paying top executives the earnings from the bank puts zero in the account or any room to wiggle.

I don't feel sorry for WaMu as from experience and opinion the bank was very impersonal and projected greed. WaMu is another bunch that would rather go under than negotiate a livable payment plan. Well WaMu you ate it and I'm glad your gone.

I would like to know what the average worker can really do besides complain.... We need action not words

I am all for boycotting the goods, services, and stock of companies that pay their C-levels execs outlandish salaries.

How can I find out who those companies are? Is there a list somewhere of companies that pay their execs fairly vs those who do not?

As long as the board makeup for the major corps consist of CEO's filling each other boards, in other words you help me and I will help you when it comes to compensation, nothing will change period, and this goes for all the congress & senate ex's filling these positions ( Cheney Halliburton)!!!

I don't agree with the amount of salary the CEO's receive. And it is insane and not right for the CEO'S to get millions of dollars since they let the companies fail to where the government has to use our tax dollars to bail them out.They should have to pay it back. GREED!!

I think the Government should fail to bail out these organizations until the fat cats that are running them return some of these high wages they are being paid. It is a shame they are drawing such high wages and letting their jobs go by the wayside. I hope all the senator and congressman and women turn thumbs down on all the bill that are brought before them. We are tired of bailing out all those that make bad mistakes, let them come down and live like the common folks.

And that is just their salaries. How much do they have invested and in what? Let them get together and clean up their mess and leave us out of it. I'm with Andyb! No bail out. They created the mess, let them fix the mess. We have suffered enough because of their greed. 60 minutes said Paulson was worth over $500 million when he took the Treasury job. Imagine how much these other CEO's a "worth". A dollar amount us regular people only read about! And buy lottery tickets hoping for a chance at!