Re-addressing a new paradigm. From Money.com:
Under the president's plan, companies that want to pay their executives more than $500,000 will have to do so through stocks that cannot be sold until the companies pay back the money they borrow from the government, according to administration officials.
Many of the the larger financial institutions that borrowed TARP money are now giving it back. That's good. What's annoying are some of the reasons. According to Goldman Sachs, one of their primary motivations was to get out from under the rule that would limit executive pay.
I got into an argument with a friend of mine who insists the security of financial industry is always based on these banks in question keeping their best talent. His claim is that these brokers and money managers will jump ship if their bonuses are pulled - and if there are banks that are NOT under the rules of TARP, well, those are the one's the executives will zero in on as their incentives are greater. Well, I can understand part of that, but lets address an issue they don't -- THEY are the reason we're in this mess in the first place, and they've got the gall to demand how the rules are laid out?
Well, here's my answer to them: FUCK YOU.
Fuck you if $500,000 a year isn't enough when you've been FAILING AT YOUR JOB.
Fuck you for suggesting that it's the government's fault that you can't regulate your own actions and decide between a smart move and a risky move.
Fuck you if you feel the taxpayers aren't entitled to some oversight for their hard-earned money.
Fuck you if you feel it's your place to manipulate how the market pays for talent and decide that a million dollar bonus for shifting some papers and getting a few accounts a well-dressed gorilla could get is valid.
Fuck you if you think you know better. You obviously didn't. While I can't blame you for everything that's happened in this economy, I do know my math. When a bank gets 100 billion in government loans, throws away 15 billion in bonuses - and STILL has trouble issuing commercial paper because they've horded the money to pay off TARP (so they can, in turn, get back to paying their talent ridiculous sums) - there's something terribly wrong there.
If you're so optimistic about your bank's future, take those bonuses in stock options. If you're pessimistic and are out simply to line your pockets and damn everyone else, you're attitude is what got us here.
So, do me a favor. Take a flying leap off a short pier.