House Panel Approves Limits on Executive Pay

[undeterred]

Source: The Washington Post

By Frank Ahrens
Washington Post Staff Writer
Tuesday, July 28, 2009; 7:24 PM

The House Financial Services committee voted moments ago to ban pay practices at financial firms that encourage "inappropriate risk," one of the government's boldest moves into the private sector.

The vote by the committee, chaired by Rep. Barney Frank (D-Mass.), a vocal critic of what he has termed excessive corporate pay, now goes to the House for a vote on Friday.

Lawmakers in both parties said they were reacting to constituent pressure. "Politically, it was very difficult for my members to stand up and fight this legislation," said Rep. Spencer Bachus (R-Ala.), the committee's top Republican, according to the Associated Press.

Wall Street and other financial firms pay their largest amount of compensation to executives in bonuses tied to performance -- bringing in business to the company or structuring deals that reap huge fees for the company.



Read more: http://www.washingtonpost.com/wp-dyn/content/article/2009/07/28/AR2009072802633.html

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I like it.

[Vincardog]

1. How about this Put every pay check over 1M to a shareholder vote and report how much total

the "executive Compensation" reduces the Earnings Per Share in every annual report?

[sarcasmo]

2. Kick, finally some smart legislation.

[salguine]

3. Yeah, this'll last about a day. "PANEL approves". If the House doesn't kill it, the Senate will.

[4lbs]

5. Unfortunately, I agree with you. The Senate especially will carve this up until it has no teeth.

It will be nothing more than a paper tiger by then.

[Mnemosyne]

4. Too bad the idiots don't listen about health care. Glad for this move so far though. KnR n/t

[defendandprotect]

6. CEO salaries are ridiculous, but so is the Minimum Wage -- which should be more like $20 an hour.

CEO salaries and exec salaries have to be cut --

and we need a Living Wage --

We also need to restore full unemployment benefits and

return to welfare guarantees -- the pre-Clinton ones!!!

[Scooter24]

7. It's a "feel good" bill that has no hope of doing anything substantial...

Perhaps many here did not read further down the article-

"The measure would give shareholders an annual vote on salary and bonuses for top executives at all U.S. public companies. The votes are non-binding, meaning companies can ignore them."

You are dreaming if you think the SEC is going to restrict bonuses at firms that are generating a profit.

[Mind_your_head]

8. sounds like more useless bs to placate the masses into believing that something

even REMOTELY FAIR is going on.

I'm not buying it.