"U.S. to Order Steep Pay Cuts at Firms That Got Most Aid"

[LittleNemoNES]

NYTIMES

Wow I am for reform but kinda weird to my sensibilities that the government tells companies what to do.

Will this be binding or simply cause pressure to comply?

 

[Jadow]

Had they not bailed these companies out in the first place, they wouldn't be doing this as those people would have gotten 0.

Govt needs top stay out of the private sector. That means they don't impose pay caps and more importantly, they DON'T BAIL COMPANIES OUT.

 

[CPA]

While I am sure many on this board won't care, most of those executives are going to leave. And I suspect it will be difficult to replace them with high enough qualified people. Remember that many of the execs now with the companies weren't there during the fallout.

 

[Fear No Evil]

This is a nice punitive type of punishment but it really doesn't solve the problem or accomplish anything other than making people feel better. The executives will likely just leave and find other jobs or retire. This will just hurt the people coming in trying to fix the mess the idiots left behind.

 

[BriGy86]

Originally posted by: Jadow
Had they not bailed these companies out in the first place, they wouldn't be doing this as those people would have gotten 0.

Govt needs top stay out of the private sector. That means they don't impose pay caps and more importantly, they DON'T BAIL COMPANIES OUT.

This is exactly right. If the bailouts had never happened we wouldn't be hearing about the slew of other controversies after the bailouts.

 

[Patranus]

The legal challenges to this will be interesting.

 

[irwincur]

And that is the end of those companies. The loss of talent at the top will kill them.

 

[CitizenKain]

Originally posted by: irwincur
And that is the end of those companies. The loss of talent at the top will kill them.

So the companies will lose the all the talent that caused them to fail in the first place.

 

[CPA]

Originally posted by: CitizenKain

Originally posted by: irwincur
And that is the end of those companies. The loss of talent at the top will kill them.

So the companies will lose the all the talent that caused them to fail in the first place.

Did you not read what I already posted. Most of those folks are already gone. The head of GM was not the head when they had got to the point of the bailout.

 

[Wheezer]

Originally posted by: CitizenKain

Originally posted by: irwincur
And that is the end of those companies. The loss of talent at the top will kill them.

So the companies will lose the all the talent that caused them to fail in the first place.

pssst:

Originally posted by: CPA
While I am sure many on this board won't care, most of those executives are going to leave. And I suspect it will be difficult to replace them with high enough qualified people. Remember that many of the execs now with the companies weren't there during the fallout.

But oh well, at least some exec somewhere is getting shafted...who gives a fuck if they were part of the original problem or not....it gives people that warm fuzzy feeling and makes the administration look tough and like they are doing something.

 

[spidey07]

Originally posted by: irwincur
And that is the end of those companies. The loss of talent at the top will kill them.

Yep. In the end it's the government wanting to control industry and the means of production. There's a word for that kind of philosophy...

 

[OCGuy]

There will be massive brain-drain, and then companies will learn not to take government cheese.

Could be a good thing.

 

[zephyrprime]

Originally posted by: CPA

Originally posted by: CitizenKain

Originally posted by: irwincur
And that is the end of those companies. The loss of talent at the top will kill them.

So the companies will lose the all the talent that caused them to fail in the first place.

Did you not read what I already posted. Most of those folks are already gone. The head of GM was not the head when they had got to the point of the bailout.

The perfect example of this is the AIG story. The guy that was in charge while AIG was screwing up royally jumped ship before the s*** hit the fan. Then the replacement guy was only in charge for a few months before the government fired him although he was not at fault for anything. Then the replacement replacement guy also got fired/resigned after a few months a congressional grilling which blamed him for stuff his predecessor's predecessor did. If this were happening in a banana republic rather than my own country, I would be laughing my ass off.

Look stupid government: it is true that the financial industry is ripping off the taxpayer again but you cannot use blunt instruments like a sector wide paycut to deal with this sort of problem. You have to deal with problems on a person by person basis.

 

[Jaskalas]

If the government buys and owns the people, who controls the government?

 

[boomerang]

For many of the executives, the cash they would have received will be replaced by stock that they will be restricted from selling immediately.

 

[shadow9d9]

Originally posted by: gersson
NYTIMES

Wow I am for reform but kinda weird to my sensibilities that the government tells companies what to do.

Will this be binding or simply cause pressure to comply?

You find it weird that companies tax payers had to bailout should be able to restrict bogus practices of such companies?

 

[shadow9d9]

Originally posted by: CPA
While I am sure many on this board won't care, most of those executives are going to leave. And I suspect it will be difficult to replace them with high enough qualified people. Remember that many of the execs now with the companies weren't there during the fallout.

Highly qualified people like the ones that caused their own companies to crash and burn and need a government bailout?

 

[shadow9d9]

Originally posted by: Wheezer

Originally posted by: CitizenKain

Originally posted by: irwincur
And that is the end of those companies. The loss of talent at the top will kill them.

So the companies will lose the all the talent that caused them to fail in the first place.

pssst:

Originally posted by: CPA
While I am sure many on this board won't care, most of those executives are going to leave. And I suspect it will be difficult to replace them with high enough qualified people. Remember that many of the execs now with the companies weren't there during the fallout.

But oh well, at least some exec somewhere is getting shafted...who gives a fuck if they were part of the original problem or not....it gives people that warm fuzzy feeling and makes the administration look tough and like they are doing something.

So, the incentives that led to "qualified" people caused over 100 banks to fail, along with many other companies... and yet you don't think those same incentives should be stopped?

 

[Fear No Evil]

Can we cut congress' salary by 50% for helping to create the financial meltdown as well?

 

[CADsortaGUY]

Originally posted by: Fear No Evil
Can we cut congress' salary by 50% for helping to create the financial meltdown as well?

YES WE CAN!!!

 

[ebaycj]

Originally posted by: BriGy86

Originally posted by: Jadow
Had they not bailed these companies out in the first place, they wouldn't be doing this as those people would have gotten 0.

Govt needs top stay out of the private sector. That means they don't impose pay caps and more importantly, they DON'T BAIL COMPANIES OUT.

This is exactly right. If the bailouts had never happened we wouldn't be hearing about the slew of other controversies after the bailouts.

But the bailouts were the only way to save Goldman Sachs's bottom line...

 

[bfdd]

Originally posted by: Fear No Evil
Can we cut congress' salary by 50% for helping to create the financial meltdown as well?

I wish they would do this. Our politicans should only be making what the average household income is imo. When the census comes out and it says the average household makes 45k a year, that should be their salary for the next year. We need to get rid of the people that turn politics into a career 99.999% of them do.

 

[Ausm]

Originally posted by: irwincur
And that is the end of those companies. The loss of talent at the top will kill them.

OMG talent? That's a bullshit excuse they will always find a work around for anything they government tries to do.

 

[Patranus]

I wonder what the contracts these companies signed have in them and if the companies will just tell the government to go fuck itself.

 

[TheSkinsFan]

Originally posted by: CADsortaGUY

Originally posted by: Fear No Evil
Can we cut congress' salary by 50% for helping to create the financial meltdown as well?

YES WE CAN!!!

:laugh:

I wish...