Pay Czar Feinberg, Not Obama, Behind Decision to Slash Executive Pay
White House pay czar Kenneth Feinberg was the driving force behind the move to order steep pay cuts from bailed-out executives, and did not even seek the president's approval before making his decision.
Under the plan, at the financial products division of AIG, the giant insurance company which has received taxpayer assistance valued at more than $180 billion, no top executive will receive more than $200,000 in total compensation, one person familiar with Feinberg's plan said. [Click to read more]
Bush's Czars were advisors only. They did not have the power to act independently of confirmed cabinet members or the president. Obama has given his czars totally unprecedented power!
Besides the fact that what the Pay Czar is doing is absolutely illegal, $200,000 maximum salary for companies that size is absolutely ridiculous! Engineers, Nurse Anesthetists, and some salespersons make close to that much, without having the responsibility of having charge of corporate decision making. How will they attract even competent talent? I certainly wouldn't work in a job in that position without proper compensation.
No comments:
Post a Comment