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Pay czar sees signs Wall Street changing pay habit
Reuters via Fidelity.com ^ | April 26, 2010 | Paritosh Bansal and Megan Davies

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 ...


TOPICS: Government; Politics/Elections
KEYWORDS: feinberg; pay
"Hey, I have done my job. But my job will be needed in the future too."
1 posted on 04/26/2010 9:31:50 AM PDT by mlocher
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To: mlocher
Pay Czar

Umm..hullo...did I fall asleep and wake up in Russia?

Shouldn't "czars" be hung or something?

2 posted on 04/26/2010 9:34:19 AM PDT by the invisib1e hand (?)
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To: mlocher

What a concept! Tying individual performance to company performance. Imagine if the entire public sector worked that way.


3 posted on 04/26/2010 9:37:56 AM PDT by printhead
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To: mlocher

Does this apply to Hollywood actors and NBA players, too?


4 posted on 04/26/2010 9:38:25 AM PDT by wac3rd (Prepare for the November 2010 Tsunami)
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To: the invisib1e hand

Who’s watching the pay czar?


5 posted on 04/26/2010 9:38:32 AM PDT by DWC (what do kids know about)
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To: mlocher

Can anyone imagine a more Orwellian concept than a “pay czar”?


6 posted on 04/26/2010 10:02:37 AM PDT by circlecity
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To: DWC

I think the pay czar is overpaid.


7 posted on 04/26/2010 10:11:24 AM PDT by Made In The USA (Home Depot should begin stocking up on pitchforks and torches.)
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To: mlocher
The pay czar should scrutinize the pay athletes receive.
8 posted on 04/26/2010 10:38:59 AM PDT by ßuddaßudd (7 days - 7 ways Guero >>> with a floating, shifting, ever changing persona.....)
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To: ßuddaßudd
The pay czar should scrutinize the pay athletes receive.

And Hollywood actors.

9 posted on 04/26/2010 10:42:30 AM PDT by dfwgator
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