I have to tip my hat to President Obama on his move to put a salary cap on those executives who are part of organizations that stepped up with their hand out and received government assistance in order to help prevent the Total Collapse of the entire US economy. If a company asked for help and got it, the CEO and other top tier executives have had their salary cut to not exceed $500,000 until they have repaid what they asked for and got.
As a proponent of the Free Enterprise System, I am not for telling a company how much to pay its employees but when those companies find themselves in tough times then everyone has to do their part. Even if it means some at the C-Level have to take a pay cut.
The New York Times ran an article on the salary cap, "The new rules would set a $500,000 cap on cash compensation for the most senior executives, curtail severance pay when top executives left a company, restrict cashing in on stock incentives until government assistance was repaid and prod corporate boards to closely scrutinize luxury perquisites like private jets and country club memberships."
Therefore, I am fully behind this decision as plenty of others are. Really, I just can't see how anyone could be against it, especially if it is in the best interest of keeping the company alive, employees working, and the shareholders happy.
Here are some Technorati Tags:
• Dave Guerra • Shareholders • Employees • salary • economy • cutbacks • President • government assistance • CEO • Top Executives • American Red Cross • Hire A Hero
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