Thursday, February 05, 2009

I'm for Executive Pay Caps (except Mine)

It’s a shot across the bow. One that was needed.

Here’s what I know for sure:
There is a substantial out of balance executive pay standard in the financial industry for sure and in many other organizations.

Bonus pay must be tied to performance over a long term, like 5 years, not quarter by quarter

If you take my money to bail you out, you work for me, until you pay it back I set your salary. If you don’t like it go work for someone who will pay you what you’re worth.

Golden Parachutes for Executives are Lead Parachutes for stockholders. Stop it. Stop it now.

I want every board member who sets salaries in boardrooms in the USA to quit using my money (as a stockholder) to do stupid things. NO ONE, NO ONE is so essential that we have to pay them 50 million a year. EVER.


And the real reason I’m in favor of these executive pay caps, it will stop the rush of companies trying to get free money from the Government, like the auto companies. If they go belly up, so be it. Maybe this stimulus package can be squashed by squashing demand. I can only hope.

1 comment:

Dr. Barry L. Kolb said...

I wonder if those of us who make less than $500,000 will get a stimulus package to get us up to that amount?