The Obama administration announced that seven companies that took the biggest taxpayer bailouts must slash the annual salaries of their 25 top executives by an average of 90 percent from 2008 levels. “The American people are outraged that the same people on Wall Street who helped cause this major recession are going right back to their greedy and irresponsible ways. I applaud the Obama administration for taking an important step forward in trying to control the obscene compensation packages of the top executives on Wall Street,” Senator Bernie Sanders said.
Overall, the total compensation for the 25 executives, including yearly bonuses and retirement pay, will be cut by an average of around 50 percent. Moreover, executives who want more than $25,000 in fancy perks – like private planes, limousines, company cars or country club memberships -- will have to get government permission first.
The seven companies are Bank of America Corp., American International Group Inc., Citigroup Inc., General Motors, GMAC, Chrysler and Chrysler Financial.
Meanwhile, back in the real world, some 500 applications poured in for one $13-an-hour job as an administrative assistant at a truck driver training school in Indiana.
Watch the senator discuss this here.
To read about the limits on executive compensation, click here.
To read about the scramble for a decent-paying job, click here.