Saturday, March 21, 2009

Wall Street CEO's "threaten financial calamity" without their bonuses

Vikram Pandit, CEO of Citigroup:

The work we have all done to try to stabilize the financial system and to get this economy moving again would be significantly set back if we lose our talented people because Congress imposes a special tax on financial services employees.

Ken Lewis, CEO of Bank of America:

I also believe that these proposals have the potential to damage the ability of the government to engineer a financial recovery.

What is the difference between these CEO's than with AIG's Liddy?

We cannot attract and retain the best and the brightest talent to lead and staff the A.I.G. businesses — which are now being operated principally on behalf of American taxpayers — if employees believe their compensation is subject to continued and arbitrary adjustment by the U.S. Treasury.

AIG's who "best and brightest" bonus argument fell on it's face now says that the bonus issue is a security issue for their employees. Mr. Liddy, speaking before Congress even said that someone threatened to use piano wire around of the neck of one of the bonus receivers! Maybe he forgot that Senator Grassley of Iowa said that AIG employees should fall on their own sword, unless Liddy's inference was that Congress helped lead the pitchfork revolution!

But wouldn't the taxpayer be better off if the "best and the brightest" and the "talented people" of these companies left who were leading them into the ground, actually did leave?

So let them go!

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