Forget legislation, etc. It’s in the interests of a company’s owners (the shareholders) to keep management from paying exorbitant bonuses that ultimately reduces their profits and makes them and the company look like greedy scumbags in this economy.
Goldman Sachs Group Inc (GS.N) was sued on Monday by a large union pension fund that accused the Wall Street investment bank of overpaying its executives.
The International Brotherhood of Electric Workers fund filed the lawsuit in Delaware Chancery Court, seeking to recover money for the company on behalf of other shareholders.
It seeks to stop Goldman from allocating roughly 47 percent of 2009 net revenue as compensation, saying such allocations “vastly overcompensate management and constitute corporate waste.”
[...]
Goldman has been at the center of a public debate over how much banks should pay out in the wake of the 2008 financial crisis, after taking billions of dollars of federal bailout money.Last week, Goldman said it would cap 2009 compensation expense at $16.2 billion, for a 36 percent compensation ratio, despite posting a record profit.
The bank also said its board rejected several shareholder demands to investigate recent pay awards and recoup excessive pay, while admitting it could face “negative publicity” from media portrayals.
#20: When you can’t refute the facts, resort to name calling. Game over; you lose.
#16 UD
I thought it was odd coming from you. Yeah, the Kippah wasn’t very clear in the drawing. I’d seen drawings like that before or I might not have noticed either.
#19 bogeyman
Racial slurs are worthy of censorship.
Good move changing the picture. It was probably taken from somewhere where it was meant to be racially offensive, although I’m sure Uncle Dave wasn’t using it here in that way on purpose.
Not too late to post that exec pay should BY LAW be a multiple of the average labor force pay. That way, the exec is motivated to raise wages, its easy to control, it can be set by the stockholders, and its “fair” from a big system viewpoint as opposed to being a product of self dealing and conspiracy as it is now.
Just for arguments sake, I heard last night that 40 years ago the average CEO made 30 times the average employee and now it is 300 with the Japanese paying something like 90 times. Looks like 91 times would be a reasonable staring point for the most successful corps in America?
Hah, hah. I was going to complain that editorial decisions were being overly influenced by racists teenagers posing as contributors, but I see the guy in the new caption also has a big nose.
You know why Bankers have big noses? Because the air is free! Skin head a few doors down told me that one. He should outgrow this phase in a few years.
two crazy things about these pay packets:
(1) when one of them is fired or quits, they are so easily replaced. Anyone making their kind of dough should be easily replaced.
(2) some of them are such geniouses they can take a 100 year old company and destroy in less than a year.
lets do some figuring..
How many years could you survive on 1 years pay from ANY of these folks?
10?
20?
SCREW IT, and retire at 18??
Life off the interest for 40 years??
So far I’d say the executives are winning against the shareholders and so-called “market forces.” Big time. And they’re not about to cut their own pay.
Got to RESTORE THE PROGRESSIVE INCOME TAX !!! Elvin paid 91% in the “Glorius 50′s”, so should these CORPORATE SCUMBAGS !!!
fOR THOSE THAT THINK corps are the greatest..
You have to understand 1 main thing..
MOST of the corps are owned by a FEW persons.
They are diversification. Dividing up for a few reasons..
1, you have more then 1 company doing the same thing, so that you can show its NOT a monopoly.
2, you get more money from having more then 1 corp, as consumer looks and see’s 2-3-4 and a few differences, AND still picks one.
3. OWNERS dont run the company.
another trick comes with owning Multiple layers of companies..
1. sells high priced goods at HIGH prices..Then sells to the NEXT
2. Buys those goods not sold in ’1, and sells at a middle price, then sells to the next..
3. Does the sames as 2, with goods FROM 2, at a lower price..
4..DITTO.
I will show you 1 thing.
the POOR dont wear much Cotton and wools, any more. WE WEAR PLASTIC. Why? ITS CHEAP.
The FUEL corps will also tell you, why they use petro products..ITS CHEAP.
Standard Product market NOW?? “ITS PRETTY I WANT IT”, it dont matter the product, as 90% of the market couldnt tell you What it is/was/or will do AFTEr you buy it.
Educate the consumer?? DONT BET ON IT. most couldnt tell you a RIPE fruit.
In the long run,
BUSINESS has had the gov lower Taxes, and to GET THEM BACK they have had to transfer the NEED of Gov Money to the consumer.
we are being PICKED CLEAN from both ends.
Profit margins go UP
PROFITS go up..
WAGES on the top WENT UP
ALL went up 100 times
What suffered was we LOST jobs..
WE lost HIGHER WAGES..
Lower wages havent Doubled in 20 years. MIN wage should be AT LEAST $12 per hour.
Those lost Taxes from corps and rich, are in property taxes, taxes on our wages, tax on everything we buy.
In WWII, taxes were raised for a reason..TO PAY FOR THE WAR..and it was on the RICH and corps, NOT on the poor.
It could only last so long.
#23 – BULLSHIT!!!!! NOTHING is worth censorship. Go down that road and you’re on the fabled slippery slope.
Besides, racial slurs are the foundation of many hilarious jokes.