Macro Man has a great suggestion of how this should be (or have been) handled.
"So to put things right, he has a compromise, market-based solution. Don't seize the bonuses via a one-off excise tax. Instead, pay them in the amounts contractually-mandated, and use normal tax treatment. But pay them in stock, and allocate shares on the basis of the average AIG share price in 2008: $27.57.
So someone receiving a million-dollar bonus will receive 36,269 shares of AIG. Current market value: $34,818. This should appease the baying masses and also introduce an incentive to these valuable employees to right the ship as quickly and successfully as possible. Oh, and at the same time, introduce these guys to another concept well-known to hedge fund types: the high water mark."
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Simon Johnson will be on WNYC beginning 11:06 for about 40 mins
wnyc.org, the Brian Lehrer Show.
This is the last week Johnson is regularly scheduled to be WNYC. Discussing the Fed buying Treasury bond. So Treasuries will cost more, interest goes down, more money in system, and dollar goes down in value. Okaaaay.
Audio will be up later today.
A beautiful low blow
Pay 'em in their own toxic waste. Haw.
If you get a link to that video, please post!
"First they ignore you, then they ridicule you, then they fight you, then you win." -- Mahatma Gandhi