Commendable action.On reading the head line I felt that the pay cut was very drastic,but in real compensation one would receive including compensation , stiil, in my opinion,is high.
Can these organisatrions not think any thing less than millions as compensation?
Compare themwith earnings of ,say a scientist,a teacher, a judge or a policeman.Still very high.These categories mentioned serve society more than thse fat cats, who need health club memberships,(which , had they been in other professions I mentioned at their salaries), would not have even dreamed of.Compensation must also specify that it shall be linked to performance and must comprise of long term performance rewards :short term performance in the ratio of 70:30.
Story:
Responding to the growing furor over the paychecks of executives at companies that received billions of dollars in federal bailouts, the Obama administration will order the companies that received the most aid to deeply slash the compensation to their highest paid executives, an official involved in the decision said on Wednesday.
Under the plan, which will be announced in the next few days by the Treasury Department, the seven companies that received the most assistance will have to cut the cash payouts to their 25 best-paid executives by an average of about 90 percent from last year. For many of the executives, the cash they would have received will be replaced by stock that they will be restricted from selling immediately.
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