Is it anybody’s business how much money you make?
When it comes to Wall Street and the meltdown that whacked financial markets and emptied investors’ pockets, the normal rules of etiquette don’t seem to apply.
Wall Street salaries seem to be everybody’s business lately. Nevertheless, the Obama administration’s pay czar may try to keep a large portion of the compensation plans he is reviewing under wraps.
It’s Kenneth Feinberg’s job to review salaries at the biggest corporate recipients of government bailout funds.
How much of his report will become public is the multimillion dollar question.
Privacy laws and fears that highly compensated executives will become targets for an angry public argue for limiting disclosure.
“One of my clients makes $25 million a year and drives a Honda,” said Steven Eckhaus, of Katten Muchin Rosenman LLP. “He tries to lead a fairly modest life and he would be horrified if what he makes appeared in the paper. Not only would his neighbors know, but his kids would know, and it would affect his ability to raise his kids. These are people, not a circus sideshow.”
Congressman Alan Grayson told Reuters he is unsympathetic to that argument.
“If this is the same top talent that caused their firms to be destroyed and put the entire U.S. economy at risk, I wish they would leave the firms and leave the country,” he said.
What’s your view?
Should top earners keep their privacy, or does the public have a right to know? Leave your opinion in the comment section below.
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Hey great article way to go!!!!!!!!!!!!!!!
- Posted by Passion Fruit SquashIf said CEO’s and employees receive any public funding whatsoever, I don’t care if it’s even a penny, then it would be a crime to NOT report their salaries.
They are taking my tax money, therefore I now have a say in what happens to their company or business.
- Posted by BajarajaI work in finance. I used to work with some “financial brilliant minds”. Majority of them just pushy people who really gamble with others people money without second thoughts.
Capitalism doesn’t mean anarchy or free ride for jerks.
Capitalism was over when these ‘proud CEO’ accepted public fund. Today they are paid by public and must act accordingly.
1. Corporate law shields top level executives from any responsibilities for wrong/bad decisions. For years investors failed to gain transparency. Handpicked corporate boards tend to protect executives rather than investors. That is the root of unjustifiable salaries.
2. We saw these brilliant minds at work:
Lehman - CEO failed to act quickly to sell the back.
Merrel - CEO was busy with $5,000,000 office renovation on the middle of collapse.
Bear - CEO bailed out failed hedge funds without looking into financial statements.
AIG - “we will never loose a cent” 2 mo before collapse.
These CEO are gone but their lieutenants still run the show. If they cannot stay public light they must go.
- Posted by SergeyIt´s completely unfair for individual employees compensation to become public on a name by name basis.
It´s fair for the public to know what the pay distribution curve looks like at these companies.
Not that it matters though. companies have to compensate their employees in line with what the competition pays. Otherwise they will simply jump shimp and go elsewhere.
- Posted by AlejandroThere’s nothing wrong with hiding everything these days. We are certainly headed toward a socialist form of government, as every other developed nation has experienced. The American people have just exactly what they want with this government mess, or they’d demand change. I’m glad I’m old and don’t have too many more years left to deal with these issues. It’s every dog for himself for a while longer, then things will change most assuredly.
- Posted by FrankResponse to Robert..
I’m sick and tired of hearing Social Security described as something people take from our system without earning it! As long as it’s coming out of my lifetime’s worth of paychecks I damn well want it when it’s my turn! The government has collected these monies for years and from time to time the government “borrows” from it. There’s the problem,,government misappropriating or allowing corporate weasles to steal and overcharge the people of this country. Visit another country and see how much better things can be done.
- Posted by RH Pyle“Privacy laws and fears that highly compensated executives will become targets for an angry public argue for limiting disclosure.”
Fear of an angry public??? Damn right they should fear them! Usurping tax dollars to prop up businesses which on a fair field of endeavor would go belly up calls for accountability! Accountability which is long overdue. These “captains of industry” have unashamedly exploited the American workforce and cried poverty for decades. The way these guys throw money at political figures while leaving the working men and women behind is downright ugly behaviour. Millions for campaigns but not a dollar for better wages and healthcare for the rank and file. Yeah,, I’m sympathetic!
- Posted by RH Pyleit’s simple… there are conditions to the contract these companies now have with their primary investors (insert american public here). sounds like they’re not used to that. stings a bit i bet.
- Posted by ACFeinberg in charge as pay czar is just one more example of the good old boys club protecting themselves. What value does a lawyer like Feinberg add to the economy? Nothing. Nothing is produced, nothing of value added to our society. In the end, so to speak, the taxpayer gets screwed once more. This is public money —- taxed from the sweat of our labor every hour of every day, or borrowed on our behalf by reckless politicians, so we also labor to pay the interest on something called the national debt. Is something wrong with this picture??
- Posted by wuddajookWhy shouldn’t they be published? School Teachers have their salaries published and the entire community gets to chime in when they want a raise - and teachers actually WORK.
- Posted by Andi RappAs far as bonuses. We have wittnessed the devistation that unbridled wages have created. When anyone’s wages are tied to their performance and they are playing with someone elses money bad things will happen. They will take risks that normally they would not take. I surely do not want any bank or broker taking these kind of risks with my money. Maybe some of you who read this had money given to you and you can afford to lose it, but I cannot. It is all public money that is being used for these risks, and it has to be protected. If it is their own money I do not care if they flush it down the toilet, but not with public money.
- Posted by f belz