Executive Pay Out of Control

Let me get this straight:

A business unit loses $40.5 billion in one year, causing the company to nearly collapse, and jeopardizing the world economies.  The government provides up to $173 billion in public funds to bailout the company.  And key company employees are getting about $450 million in bonus payments.

The company claims the bonuses are “retention” payments, even though 11 of the employees receiving $1 million or more each are no longer with the company.

  • Does this make any sense to anyone?
  • What would these employees get in a good year?
  • Why retain the very people who caused this mess?
  • Did the government do any due diligence before throwing an enormous amount of public funds at the problem?
  • Who designed this bonus program?
  • Who approved this bonus program?

It gives “pay for performance” a whole new meaning.

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