#1. FIRE THEM AND GIVE THE JOBS TO PEOPLE WHO WOULD DO A GOOD JOB. Now I realize that giving the executives large bonuses could be viewed as a “good job” for the company, but to quote, Seth Meyer’s from Saturday Night Live, “Really?, REALLY?”
#2. A.I.G. gets $170 million in taxpayer bailout money and then pays $165 million in bonuses??? WTF? Our government says that they’re hands are legally tied. As for being contractually obligated to pay the bonuses, use a Jedi Mind trick, pull a Manny Ramirez or T.O., or simply get the Supreme Court to overrule the contracts.
#3. The fact that A.I.G. argues for the bonuses being necessary to “Retain skilled executives” is ludicrous!! Give them the option of no bonus or no job and let’s see how that experiment in human behavior turns out.
WASHINGTON — The American International Group, which has received more than $170 billion in taxpayer bailout money from the Treasury and Federal Reserve, plans to pay about $165 million in bonuses by Sunday to executives in the same business unit that brought the company to the brink of collapse last year.
Word of the bonuses last week stirred such deep consternation inside the Obama administration that Treasury Secretary Timothy F. Geithner told the firm they were unacceptable and demanded they be renegotiated, a senior administration official said. But the bonuses will go forward because lawyers said the firm was contractually obligated to pay them.
The payments to A.I.G.’s financial products unit are in addition to $121 million in previously scheduled bonuses for the company’s senior executives and 6,400 employees across the sprawling corporation. Mr. Geithner last week pressured A.I.G. to cut the $9.6 million going to the top 50 executives in half and tie the rest to performance.
The payment of so much money at a company at the heart of the financial collapse that sent the broader economy into a tailspin almost certainly will fuel a popular backlash against the government’s efforts to prop up Wall Street. Past bonuses already have prompted President Obama and Congress to impose tough rules on corporate executive compensation at firms bailed out with taxpayer money.