DISQUS

Consumerism Commentary: President Obama Proposes Executive Pay Legislation

  • tom · 5 months ago
    First of all... I really like the new layout and design. I usually read your blog through Google Reader, so this was a nice surprise.

    I think this legislation will have minimal effect. Most shareholders don't vote, nor will they follow up and read through the Proxy to find out what was decided upon.

    I disagree with this "Pay Czar" crap. Places like BoA, Citi, AIG, maybe they need only performance based incentives and a small bonus, but limiting pay and expenses for TARP funded companies? No way, the Gov't forced TARP money down many banks throats. Look at what's coming out with BoA and Merrill. The Gov't strongarmed the merger, which caused BoA to need even more TARP funds.
  • MyJourney · 5 months ago
    This stuff is all simply B.S. the shareholders always had a say...by choosing who is voted to the
    board. If the board approved an $18million contract for the new COO - you could have ousted the board, but most shareholders throw out those proxy notifications when they come in the mail (I know I do lol)
  • UH2L · 5 months ago
    And if the shareholders reject the recommended board of director candidates, then who can they vote for? It's all part of a gentleman's and gentlewomen's club of elite people who are all on each others' boards of directors and they all tend to dole out huge salaries to executives because they're all in on it together.

    Still, this legislation won't do anything if the shareholders can't enforce pay limits.

    As for people who say that limiting pay limits the quality of the executives, I think we've seen with the financial crisis that exorbitant salaries encourage hiring of the greedy and not necessarily the competent.
  • Ron · 5 months ago
    Does anyone realize how many of these "czars" we've accumulated? Drug czar, education czar, pay czar. I've heard that we have about 20 different "czars" to oversee something or other. When does it end?

    Land of the <strike>free</strike> CZARS
  • Rassah · 5 months ago
    Pretty soon we'll be circa 1800's Russia!
  • Mike · 5 months ago
    /facepalm

    When will the government stop thinking it can fix everything? I can't wait for the day everyone wakes up.