[Mpov]

First Citi had to sell off one if its most profitable units, energy trading, because it was so profitable that the guy who ran it was due for a huge, multimillion dollar bonus, and the government couldn't stomach that.

Now the "pay czar" has come out with his recommendations - cut salaries in half. What a great way to protect the taxpayers' investment in the companies that received government bailout money - ensure that the best people leave!

Wall Street Pay Cuts Stoke Debate About Washington’s Reach - Yahoo! News

[BlueStreak03]

I can understand this move when it comes to the companies who received federal bailout money.

Where I have a problem with it is the fact that it comes from a person who was neither elected to office nor confirmed by Congress. His powers were completely delegated to him by the POTUS. I understand that there is a little bit of leeway given to the POTUS for this such thing by the Constitution. However, the sheer vastness of this particular President's reliance on these appointees is staggering and way past the leeway granted by the Constitution.

Also I will have a problem with this type of power being enforced onto companies who have not relied upon the federal bailouts to stay in operation.

[Mpov]

Originally Posted by BlueStreak03

I can understand this move when it comes to the companies who received federal bailout money.

I can't. It is a populist ploy. The government should be doing whatever it can to make sure that the bailout money is repaid, with interest. Their interference is only going to make these companies weaker in the long run.

[BlueStreak03]

With the amounts of government money that were injected into those companies, this is a way to insure that MY investment is not squandered on lining the pockets of high level executives who have already proven that they can't run their companies.

Once those funds are repaid to the Treasury, I couldn't care less how much those guys make so long as they don't come to my doorstep with hat in hand looking for another bailout.

[ONEZ ST]

I support cutting the Bank CEO pay by 50%. In fact I would support it being cut 70%.

US Bank CEO's are excessively compensated compared to the rest of the world Bank CEO.

The CEO of JP Morgan Chase and Co. was compensated over $19 milllion in 2008. And that's peanuts compared to the compensation package of Citigroup's CEO.

I think any US Bank CEO could survive on 50% very well and still very comfortably at 30% of $19 million . . . let alone the $100 million package of Citi CEO.