This is the perfect reason why the entire financial bailout was wrong. No one else really has shown such blatant disregard for how much it ties the corporations to the taxpayer, but AIG commits the worst atrocities.
It seems that they’ve just renamed bonuses to “retention payments” and have said that this is required to keep the business running.
Having just recently heard from some friends about their corporate conditions and how many people are getting laid off just to be re-hired into contracting positions where the job stability is less sure, I can’t see anyone that’s taking emergency funding, to even joke about giving out bonuses. Or “retention payments”. I mean seriously. You’re lucky to have a job in these economic times.
Leadership teams should set by example. What makes me wonder about the AIG executives is that they’re borrowing money, and changing the wording, and then basically telling Congress that it’s business as usual. There’s only two things going on here. Either you’re sick, or your stupid. And for AIG’s sake, you better hope for sure that it’s the former, since the latter won’t fly when the taxpayers hear of it.