To prevent "losing people" or "devastating morale," Wall Street plans to pay bonuses despite bailout

[Amerigo Vespucci]

Wednesday, November 12, 2008
Wall Street Bonuses Expected To Come This Season Despite Bailout



Donna Fuscaldo
FOXBusiness

With the financial industry on the receiving end of a massive bailout by the government, one would assume Wall Street wouldn’t be paying out bonuses this year. Well think again.

While bonuses are expected to be down between 40% and 70%, the financial industry’s foot soldiers are expected to get their bonuses, which in some cases make up 80% of their yearly compensation.

“Even if you have tough times you’ve got a lot of people that contribute a lot,” said Allan Johnson, managing director of Johnson Associates, a New York-based compensation consulting firm. The Wall Street companies don’t want to lose or devastate the morale at the companies, he said.

News reports have surfaced that Goldman Sachs (GS) and Morgan Stanley (MS) are among the Wall Street companies that have set aside billions for bonuses. Officials at Goldman Sachs weren’t immediately available to comment. A spokesman at Morgan Stanley said the company hasn't made a final decision on bonuses yet.

Paying bonuses this year is likely to result in a lot of backlash from the average American. After all, even with bonuses down dramatically, they are still higher than the average American, who is losing his or her home, makes. Not to mention the government bailout of financial firms, which seems to change daily, is coming from taxpayer dollars. Concerns abound—rightly or wrongly--that some of the $700 billion bailout could go to pay bonuses this year.

http://www.foxbusiness.com/story/markets/industries/finance/wall-street-bonuses-expects-come-season-despite-bailout/

[soulcore]

1. What about my fucking morale!?

Or better yet, the rented nest egg I live in, worth jack squat?

Or my non-existent health care coverage!?

FUCK. THESE. FAT. CATS.

[MadinMo]

2. As my MIL would say, "Well Shitty Fritty." eom

[DFW]

3. I've got thick skin. Pay me $50 million, and I won't even whimper if you lose me.

Even after taxes, that leaves me with $30+ million in the bank. I can probably
just get by on that, even if it means cutting a few corners. I may have to ask
Sarah Palin how to put my Lear jet on eBay, but other than that, I will somehow
make ends meet.

[wroberts189]

4. in other news ..woman gets 20 years for stealing baby formula.

Its a lie ..but a common story perhaps a bit exaggerated ... added for context.

[FKA MNChimpH8R]

5. Bonuses? These fuckers should be impaled!

Only at the top can you be "bonused" for fucking up. Some poor schmo at Walmart gets canned if they cost the company an extra nickel, while these shites can destroy the economy only to have their precious "morale" boosted with piles of stolen money. :grr:

[Gormy Cuss]

6. They're so full of shit.

Where are these low morale employees going to go in this economy?

[SammyWinstonJack]

7. !!!

:grr:

[Neshanic]

8. Oh you flyover people don't get it. It's Manhattan, there are certain exclusions that go with it.

[Neshanic]

9. Vista and Explorer 8 issue...

[Bozita]

10. Fuck those welfare queens. If they can't live on their salaries, fuck 'em!

[no_hypocrisy]

11. I don't think so.

Attorney General of New York State, Andrew Cuomo, has announced he'll go after any company or corporation that uses the bail-out money for bonuses.

[liberalmuse]

Okay, this is where we break out the guillotines.

They're just begging for a bloody revolution, aren't they? Anyway, we now know how the Ned Beatty character felt in 'Deliverance'.

[NJRick1006]

12. This is sick

These people should be thrilled that they still have a job in this economy. I know I wouldn't dare be concerned about getting a bonus.