Too Bad for the Little People

If the pork that was attached to the recent government bailout of financial firms didn’t upset you, maybe the retreat AIG thought itself entitled to did.  While the average American pinches pennies, AIG apparently felt no guilt in taking a previously schedule retreat on which it spent $440, 000 of taxpayer money on golfing, spa treatments and the like.

Now the news has come out that the companies that were bailed out with your money and mine will pay their executives year-end bonuses.  Here’s what Allan Johnson, a compensation consultant, had to say about the bonuses:

the average managing director at an investment bank, a title typically earned after eight years on the job, will receive a bonus of $625,000. That’s down from nearly $1.1 million last year, but it is still 15 times the income of the average American household. Top bankers could receive as much as $1 million. Even a bond trader just out of business school could see his or her bank account enriched by as much as $170,000 this Christmas.

Fifteen times the income of the average American household?!  I know that individual employees may not have contributed in a major way to the financial mess in which their companies find themselves.  I just think it would be responsible of them to curtail their extras since the American public is busy doing without its extras.  Maybe those individual employees are not responsible, as a group, for our current financial woes.

But neither are the individual citizens who are paying to help them out.


1 Response to “Too Bad for the Little People”

  1. 1 Sally October 28, 2008 at 5:23 pm

    Hey, Becky, you’ve been BOO-ed. Come see what that means. :-0

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