Sunday, September 21, 2008

McCain wants to limit execs to $400,000

McCain wants to limit execs to $400,000

It may be a populist move, but McCain was the first one to put a number to CEO compensation limits.

He can turn this election if he shouts this to every media person and voter in the United States.

Obama... your turn.  Can you top this?

[UPDATE] The main stream media don't seem to be covering this statement.  I wonder if they are delaying it until Obama can come up with a simular plan?  nahhhh.

4 comments:

mmazenko said...

I haven't seen this yet, but are you saying McCain is going to set salary limits on the free market? I can't imagine how any conservative thinks this is a good idea.

However, the reversal of the 1950s era legislation that allows for stock options and backdating should certainly be on the table. I've always felt the CEOs could simply buy stock like the rest of us.

It's the stock prices that allow for the golden parachutes, not the baseline pay. And it's the emphasis on stock that causes CEOs to make shortsighted moves that reward them with enough time to get off the sinking ship.

I simply can't agree to the government setting wage maximums for companies - that's pretty socialist if you ask me.

TurbineGuy said...

Government pay for government money.

The salary caps are completely optional... the companies can elect to figure things out on their own if they want.

Socialism is bailing out private companies... if we are going to do it, lets screw the fuckers responsible.

mmazenko said...

That's a valid point.

However, I'm wondering where you stand on the nationalization of banking, finance, and insurance from a Republican administration.

Is this always preferable to the Democrats? Government became leanest with a Democratic president and a Republican Congress. Is that the way to go?

Independent George said...

I was actually thinking it didn't go far enough; as a symbolic gesture, I'd reduce compensation to the lowest pay grade in the company. Executives are routinely asked to resign as part of a bailout package. Limiting compensation - including severance packages - is a perfectly legitimate precondition for agreeing to save a company's ass on the taxpayer's dime. Personally, I'd also bill them for services rendered, but that might be a bridge too far. Drafting them into the service is another possibility, except I'm not sure what they could do, and really wouldn't trust these guys with anything important anyway, and most execs are too old to qualify under selective service.

Still, the thought of a fifty year-old Airman Recruit repairing fences & telephone wires in the Alaskan winter puts a smile on my face. Once you've crossed the line on moral hazards, a little ritual humiliation is not uncalled for.