October 21st, 2009
04:41 PM ET
5 years ago

White House to push for big pay cuts

NEW YORK (CNNMoney.com) - The Obama administration will soon order the nation's biggest bailed-out companies to drastically cut pay packages for their top executives, according to several reports published Wednesday.

Kenneth Feinberg, who was the White House's so-called "pay czar" in June, is expected to demand that the seven largest bailout recipients lower the total compensation for their top 25 highest paid employees by 50%, on average, according to reports in both the New York Times and Wall Street Journal.

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Filed under: Obama administration • Wall Street
soundoff (58 Responses)
  1. al in memphis

    I'm not for limiting how much anyone can make. But the basic principle of free market is based on results. You can't drive a company in the ground and get millions for it. Nor can you have 1000 workers and only reward 25 the kind of pay these people are getting.
    Company workers and small shareholders are powerless when it comes to what the Board of Directors buddy system decisions to overpay.

    October 21, 2009 05:49 pm at 5:49 pm |
  2. Wake Up

    Obama you have the most wasteful administration in history. You need a reality check. That will come in 2010, when anyone who supports your policies get voted out.

    October 21, 2009 05:50 pm at 5:50 pm |
  3. t22

    You guys once again don't get it. It's not about whether these guys make too much, they do. It's about government telling them they make too much. Frankly I think what they get paid is absurd, so we need to know who gets paid what at what companies and move our money away from them and toward someone who will do just as well for far less money. But let us decide with our business choices, because if the government gets involved here, where else do they get involved? Maybe someone thinks you make too much.....

    October 21, 2009 05:50 pm at 5:50 pm |
  4. Reagan was wrong

    If you read through the conservative comments on this thread, you'll see a 100% echoing of Glenn Beck, paranoia and all.

    This is the reason only 20% of respondents identify themselves as Republicans these days. And yet, these same people have already become convinced of a GOP comeback in 2010 and a Palin presidency in 2012.

    I really don't think it's a good idea to be putting these notions into the heads of our least educated and most heavily armed citizens.

    October 21, 2009 05:50 pm at 5:50 pm |
  5. Mojo

    Czars, which is just terminology for advisers who have no administrative duties, actually began under Nixon, expanded under Reagen, Bush I, Clinton, Bush II etc.

    Advisers to the president are in the US constitution (Article II, Section 2, Clause 2), and well established by years of precedent.

    October 21, 2009 05:51 pm at 5:51 pm |
  6. Shibumi

    Comrade Obama will be coming after your paycheck soon. The peasants will foot the bill for cap and tax, healthcare, and Pelosi's marsh mouse who got a cool $30 mill.
    Keep drinking the Kool-Aid, peasants.
    One and Done.

    October 21, 2009 05:54 pm at 5:54 pm |
  7. JT the concerned College Freshman from MO

    This idea may seem a bit radical, but I think that pure Capitalism and pure Socialism have both been proven to fail. Example just last year, when Wall Street almost collapsed because of no regulation. Pure Capitalism has failed. I think we need to evenly blend the two together to make sure everyone has equal and free rights, but at the same time making sure everyone is being treated fairly with our money ( regulation). Free and equal rights for all, Capitalism; regulation of Wall Street, Socialism. That is just my opinion.

    October 21, 2009 05:55 pm at 5:55 pm |
  8. Moe, NY

    Good deal! These CEO'S have been sticking it to the little people for a long time now, glad they are being brought under control. Besides, in my opinion, no one is worth the amount of money these clowns are handed.

    October 21, 2009 06:01 pm at 6:01 pm |
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