Posted on 04/26/2010 9:31:50 AM PDT by mlocher
BEVERLY HILLS, CA (Reuters) - U.S. pay czar Kenneth Feinberg sees early signs some Wall Street firms are voluntarily toughening up on the way they pay executives, but he cautions it remains to be seen whether such behavior becomes permanent.
Feinberg, who still supervises pay practices at five firms that received money under the government's Troubled Asset Relief Program (TARP), told Reuters these signs include increasing the amount of salary paid in the form of stock and tying individual performance to company performance.
"It's too early to tell," Feinberg told Reuters on the sidelines of the Milken Institute Global Conference. "There are some early small signs that companies are adopting the prescriptions."
The pay czar's recommendations have come under fire, with American International Group Inc objecting to pay restrictions in some instances.
AIG Chairman Harvey Golub said in February that, while the bailed-out insurer could pay most of its employees competitively, "on occasion, these restrictions and his decisions have yielded outcomes that make little business sense."
Feinberg said he did not agree with Golub's criticism.
(Excerpt) Read more at news.fidelity.com ...
Umm..hullo...did I fall asleep and wake up in Russia?
Shouldn't "czars" be hung or something?
What a concept! Tying individual performance to company performance. Imagine if the entire public sector worked that way.
Does this apply to Hollywood actors and NBA players, too?
Who’s watching the pay czar?
Can anyone imagine a more Orwellian concept than a “pay czar”?
I think the pay czar is overpaid.
And Hollywood actors.
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