Forcing Companies to Pay Back Crisis-Era Bonuses? Unfair, Says Pay Czar
July 23, 2010
U.S. (ChattahBox) – There have been calls from the American people since the beginning of the bailouts to force companies to pay back the $1.7 billion in bonuses paid through taxpayer dollars. For most of us, it just makes sense, forcing them to give back money that wasn’t theirs. But federal pay czar Kenneth Feinberg disagrees.
According to a report by RAW. the compensation adviser for the Obama administration is saying that it would be unfair and not right to make companies like CitiGroup and AIG to pay back outrageous bonuses and personal expenses used by government, tax-back ised bailouts.
His reasons? It wasn’t technically illegal, at the time.
“It was ill-advised. This wasn’t illegal. They violated no” rules but this was “bad judgment,” he was quoted as saying.
Bottom line? He isn’t going to request that huge sum of money returned, but will let the businesses and CEO’s get away with it. They will always get away with it. Just remember that next time you are walking to the local labor-ready office, hoping desperately that there is something there for you today.