| Submit your comments on this article |
| Economy |
| Obama: Excessive Pay Offends our Values |
| 2009-10-23 |
| With the Treasury Department poised to formally announce limits on compensation for executives at bailed-out Wall Street firms, President Obama said on Thursday that massive pay packages for executives at bailed-out firms offend American values. "It does offend our values when executives of big financial firms that are struggling pay themselves huge bonuses even as they rely on extraordinary assistance to stay afloat," the president said. Mr. Obama lauded Treasury's decision to limit compensation for executives from firms that have not yet repaid the government. He said Kenneth Feinberg, the special master at Treasury tasked with handling executive pay, "was faced with the difficult task of striking the proper balance between standing up for taxpayers and returning a measure of stability to our financial system." "Under these competing interests, I believe he's taken an important step forward today in curbing the influence of executive compensation on Wall Street while still allowing these companies to succeed and prosper," said Mr. Obama. "But more work needs to be done." The president made the comments at the start of a signing ceremony for a veterans health care funding reform bill at the White House. At a briefing before the president made his comments, White House press secretary Robert Gibbs told reporters that the White House did not have any involvement in Feinberg's decision. Mr. Obama stressed Thursday that Feinberg had made "an independent judgment." |
| Posted by:Fred |
| #32 See also TOPIX > OBAMA ADMIN CAPS EXECUTIVE SALARIES ON SEVEN FIRMS. |
| Posted by: JosephMendiola 2009-10-23 23:12 |
| #31 Because as Thomas Jefferson wrote: "...certain unalienable Rights, that among these are Life, Liberty, and Unlimited Executive Pay." So speaketh the Populist. |
| Posted by: Pappy 2009-10-23 22:11 |
| #30 To paraphrase TED TURNER > D *** NG IT, WHEN YOU ONLY HAVE AN EXTRA US$1000.0 TRILYUHN-OR-SO ["or so"] DOLLARS TO WORK WITH, YOU HAVE TO MAKE DO WITH LESS! Sniff, sniff, you just have Have HAVE H-A-V-E HHHHHHHHAAAAAAAAAAAVVVVVVVVEEEEEE......@ TO. [Cue AL BUNDY > "OLD AID" EPISODE HERE]. |
| Posted by: JosephMendiola 2009-10-23 19:10 |
| #29 "Offends o9ur values" > wehell, so does an "UNOFFICIAL" US$14.0QUADRILYUHN GDP [WIkipedia. DebtClock.org, etc.]; as opposed to the "OFFICIAL" US$14.0TRILYUHN GDP one. Lest we fergit, D *** NG IT, A MILYUHN-AND ZILYUHN-AND-SILYUHN DOLLAR BUDGETED FEDERAL-GOVT AGENCY, BUT NO ONE THOUGHT TO TEACH, ETC. YOUNG TEEN AGENT CODY BANKS HOW TO TALK TO A GIRL! APPARENTLY, NO ONE THOUGHT TO GET GOOD ACCOUNTANTS, etc. EITHER .... OR SSSSSSSHHHHHH DID THEY!? [Theme from DRAGNET here]??? |
| Posted by: JosephMendiola 2009-10-23 19:04 |
| #28 This is how Obamaland works. It's basically a protection racket. Once you take it, they own you. This is exactly how Obamacare will work. Once it passes, they own us. Literally. Have a nice day. |
| Posted by: Rex Mundi 2009-10-23 18:40 |
| #27 I'm all for more shareholder say in executive compensation. Just opposed to the US government as the main shareholder in large companies. |
| Posted by: DMFD 2009-10-23 17:59 |
| #26 Am I the only one who finds what is most outrageous in all of this and other Obama actions is the sheer arrogance of the presumption of power. Starting with the whole cCommerce Clause and enumerated powers discussion this devolves down now to just brash assertions f asuthority absent any shred of legal authority. What basis in the Constitution can anyone assert for thses continuing expansions of Executive power through amazing rubber stamp legislation from a slavish Congress run by intellectual dwarves like Pelosi and Reid, or the more fundamental act of just declaring the power and publishing regulations. Are thier no freedoms left. People, the slope towards totalitarian soci@lism is no longer slippery, its a bobsled run! |
| Posted by: NoMoreBS 2009-10-23 16:13 |
| #25 It does look like compensation got out of hand for these guys, but do you really want to mess it up with a government solution? Some changes that increase stockholder's power would go a long way toward correcting any abuses of power that the CEO's might come up with. |
| Posted by: Richard of Oregon 2009-10-23 15:32 |
| #24 and MUCH poorer taxpayers. |
| Posted by: Bright Pebbles 2009-10-23 15:21 |
| #23 Hoorah we now have a large zombie financial system. |
| Posted by: Bright Pebbles 2009-10-23 15:21 |
| #22 The problem with AIG was that all the big boys (Goldman Sachs, Morgan, BoA, Citi,et.al.) had CDS's (AiG insurance). That was the 3 card monte Paulson played on Congress and America. In order to cover the risk and gamble the big banks made you had to bail out AIG so they could pay off the swaps. If AIG had gone under, the whole financial system would have been at far greater risk and may not have ever survived. Good news, bad news. |
| Posted by: Jack is Back! 2009-10-23 14:43 |
| #21 Totally agree. The building has a leaky roof, so they replace the carpeting. If there is a need for that service, another company will fill in the gap. Same with the banks et al; its against the natural order of things. But hey, let's keep the wooly mammoths in control because we can deal with them and know they play ball. What seems to be missing, is that the government is responsible for enforcing values? |
| Posted by: swksvolFF 2009-10-23 14:40 |
| #20 Anguper Hupomosing9418 I'm glad someone else gets it. |
| Posted by: Bright Pebbles 2009-10-23 13:42 |
| #19 The bonuses that everyone got so upset about at AIG were being paid as part of a contract. For a number of those employees it was their paycheck for the entire year AIG should have gone bankrupt, its employment contracts voided, its employees laid off, and its share value cut to zero. AIG employees and directors that engaged in fraud & other business crimes should have been indicted, tried and jailed. That used to be the American way for companies that do as poorly as AIG has done. |
| Posted by: Anguper Hupomosing9418 2009-10-23 12:44 |
| #18 The president also urged the Senate to pass legislation giving shareholders a say in executive pay packages[...] Can't shareholders vote to do this themselves? Corporate insiders have by and large usurped corporations like AIG and Goldman Sachs, and operate them strictly for the own aggrandizement. The average shareholder in rogue corporations like these is better termed a 'bagholder.' |
| Posted by: Anguper Hupomosing9418 2009-10-23 12:40 |
| #17 He'll need wage and price controls very soon. He can't have wages tied to hyper-inflation. There is no need for wage controls, since average wages have been stagnant (or shrinking) for years now, and workers are in no position to demand anything from employers. It is very unlikely wages will go up to match an increase in prices. Debts that are uncollectable decrease the money supply. So far the amount of money dumped into the economy by the Feds is far less than the amount destroyed by the housing bubble & derivative shenanigans, therefore little inflation (for the moment). |
| Posted by: Anguper Hupomosing9418 2009-10-23 12:36 |
| #16 Ever notice these bullshit decrees are never directed against Entertainment Industry, Pro Sports? |
| Posted by: swksvolFF 2009-10-23 11:28 |
| #15 Congress takes Federal money (our money). They should be given a pay cut, their health care should be cut and no COLAs.. Somehow, Congress has to be required to live under what it passes--that'll straighten out some of this $hit. This elite class of arrogant leeches such as Bwawney Frank, Chris Dodd, Reid, Pelosi, Murtha, and any others that fit this description need to be jerked very hard. |
| Posted by: JohnQC 2009-10-23 10:58 |
| #14 From the article: The president also urged the Senate to pass legislation giving shareholders a say in executive pay packages[...] Can't shareholders vote to do this themselves? It's not the idea that bothers me, it's the government (esp. this government) coming up with all sorts of new 'regulations' and 'mandates.' |
| Posted by: Free Radical 2009-10-23 10:37 |
| #13 Bankruptcy limits salaries, just saying... |
| Posted by: Bright Pebbles 2009-10-23 10:30 |
| #12 I am also appalled at the huge salaries those people get but Congress has no Constitutional right to limit salaries in the private sector. When those companies took the money there was no clause limiting salaries and now Congress is acting retroactivly to reduce those salaries. Blatently unconstitutional. |
| Posted by: Deacon Blues 2009-10-23 09:58 |
| #11 "Limiting executive pay is the most un-American thing that they can do. " Because as Thomas Jefferson wrote: "...certain unalienable Rights, that among these are Life, Liberty, and Unlimited Executive Pay." |
| Posted by: svn 2009-10-23 09:54 |
| #10 The bonuses that everyone got so upset about at AIG were being paid as part of a contract. For a number of those employees it was their paycheck for the entire year Then you pick their pockets? Those who ran the parts of the companies that got them into trouble that should lose some compensation. Even the presidents, etc, who helped overlook risky practices to make a buck right now and the hell with the future should be paying. Limiting executive pay is the most un-American thing that they can do. Giving the Feds the authority to do so, no matter how much money they have in it, will be going over the edge of a cliff that we cannot see the bottom. |
| Posted by: Jame Retief 2009-10-23 09:36 |
| #9 How'sthese values feel about somebody's wife receiving 300K$ a year on a phoney-baloney job? Now, now, I'm sure she earned that. Its not easy to come up with scheme to dump patients who are unable to pay on _other_ hospitals. And of course its fully qualifies her and her husband to dictate Healthcare. |
| Posted by: CrazyFool 2009-10-23 08:27 |
| #8 Obama: Excessive Pay Offends our Values But amassing wealth the Rangel Way(c) is peachy keen by us! Nothing wrong there. Right Nancy? /rhet question |
| Posted by: Procopius2k 2009-10-23 08:26 |
| #7 If you hadn't bailed out these failed firms with money extorted from successful wealth creators then you wouldn't be in this mess. The bond collapses that underpin corporate bankruptcy would be deflationary and thus allow the state to print money to repay depositors without inflation and who would have their money in sound organisations. The state picked by far the worst option for the country, but the best one for their donors. |
| Posted by: Bright Pebbles 2009-10-23 06:23 |
| #6 "But more work needs to be done." This is the part we should all be concerned about. |
| Posted by: Besoeker 2009-10-23 06:18 |
| #5 Maybe I'm missing something here...but aren't these same oh-so-valuable employees the very ones that got these firms into trouble in the first place? With a 10% unemployment rate (ok, probably closer to 15%), surely barely competent executives could be found to replace these "wonder" boys and girls. |
| Posted by: Cornsilk Blondie 2009-10-23 06:13 |
| #4 Camel's nose under the tend. He'll need wage and price controls very soon. He can't have wages tied to hyper-inflation. To bust the USD and arrive at 'Zim' he must freeze wages. This is just a convenient trial baloon to gauge congressional reaction. Listen to what he dose, not what he says. |
| Posted by: Besoeker 2009-10-23 05:40 |
| #3 How's these values feel about somebody's wife receiving 300K$ a year on a phoney-baloney job? |
| Posted by: g(r)omgoru 2009-10-23 03:09 |
| #2 I'm firmly with Obama on this one. Bast@rds started handing out bonuses as soon as they got their bailout packages. WTF? Not used to the federal government keeping an eye on them I guess. They deserved this. They contributed in a big way to making everyone's life miserable, then they get to share in that misery. Poor babies have to sell a couple of their mansions to survive, I guess. |
| Posted by: gorb 2009-10-23 01:54 |
| #1 He who calls the tune gets to pay the piper. If the corporations want to pay whatever they want to whomever they want, they shouldn't have accepted aid from the feds. |
| Posted by: Anguper Hupomosing9418 2009-10-23 00:24 |