Congressional leaders debated the proposals, the banking industry lobbied intensely against them and President Obama's top economic advisers even put out last-minute calls for revisions. But in the end, new rules to significantly curb compensation of the banking industry's top executives and rainmakers were tucked into the 1,073-page stimulus bill now making its way to Obama for his signature.
The pay restrictions, which go much further than limits proposed by the Obama administration 11 days ago, were the product of forceful negotiations, careful diplomacy and give-and-take that lasted into the night Thursday before Congress passed the stimulus package Friday, according to interviews with officials in the banking industry, on the Hill and in the Obama administration.
In better times, such stringent rules -- a bonus cap and a ban on golden parachutes -- would have had little chance of becoming law. But now, outraged taxpayers called upon to bail out the industry are driving the decades-old debate on extravagant Wall Street paydays.
2 comments:
this one had better work with these restrictions the last one was just a waste of money
At what point do these restrictions cause us to loose our free market economy? It seems that the government has taken to telling companies what to do at every turn, and is funding companies that have not been able to keep themselves afloat. To me it seemsd this may temporarily alleviate economic problems but in the long run will not help us actually fix the problems we have.
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