70 billion from the Bailout capital will be used for this year’s bonuses
October 19, 2008 : Posted by: Roman : Category: Business, Entertainment, Investing, Technology : Add Comment
I woke up today to some great news the big banks will be using 10 percent ($70 billion) of the bailout money to pay out this year’s bonuses. Yes, the American people got bent over slapped on the left butt cheek and told you can’t afford lube then taken hard and fast. I don’t know about you but this is a bit messed up in my opinion. These people destroyed the economy with their greed. Now, the same people want a reward for this destruction. Whatever happened to bonuses being for good work?
Reward for excellence and consequence for failure, that saying still rings in my ears after all these years. Why is no one following this saying? It works, simple tried and true. How can anyone in their right mind even ask a bonus after they lost BILLIONS if not trillions of their company’s money? I just don’t get it. Good people are suffering because of these company’s mistakes. Why are they getting a reward for the creation of this mess?
This is our money being used to reward failure. I do not believe that it is right or fair for this to occur. To top it off the media in the states is keeping quiet about this whole issue. There should be an up roar to say the least. This whole situation only proves that the politicians are in bed with the banks.
Pass this information on to your friends this should not be allowed to occur!
The United States media will not even focusing on this unless you make it focus on this issue!
Tags: Does everyone think that the american people are idoits?, insiders, Screwing the tax payers, wall street bonus's
October 19th, 2008 at 8:09 pm
[...] I woke up today to some great news the big banks will be using 10 percent ($70 billion) of the bailout money to pay out this year’s bonuses. Yes, the American people got bent over slapped on the left butt cheek and told you can’t afford …[Continue Reading] [...]
October 20th, 2008 at 3:47 am
Hmm. Thanks for letting me know about this. I’ll try to pass it around, and maybe write a bit to lead people to your post.
I’d be interested to hear some different points of view on this issue. Why is this happening? Just to keep the execs happy?
October 20th, 2008 at 5:41 am
That’s an interesting post. I only follow NYT and CNN out of US media, and have not seen anything on this topic. I question that assumption, as it seems to compare that number to last year of compensation #s. last year for example “Goldman set aside about $16.5 billion for salary, bonuses, and benefits for its 26,000 employees. That averages to more than $600,000 a person”.
Keep in mind that GOVNT gave goldman 10 billion, which is less than the amount that was paid out last year. I’m absolutely in agreenment that this levels of compensation (in forms of bonuses are insane!).
Example: “Goldman recorded $661k of compensation expense per employee, compared with $332k at Lehman.” http://www.reuters.com/article/ousivMolt/idUSN1852897120071218 I actually read that the bankruptcy filing discloses that LEH’s compensation per employee for 2007 was 620k, but can’t find a source.
From what I hear from my friends that work the top ex-investment banks (given they are lower in the food chain) is that their the bonus this year (some may not even get that one) will be “keeping your job”.