There are two questions regarding AIG and these numerous failed corporations:
a) should the government have bailed them out and
b) what to do about those bonuses?
The first is simple. Just as we have separation of church and state, so should we have a separation between the federal government and the private sector. It's astonishing to me that Republicans want less government, but want their corporate buddies bailed out!?! The Government has no business in the private sector. Let AIG, GM, etc. fail. If they cant run their own company; if GM didnt forsee needing to make an environmentally sound vehcile like a hybrid and cared more about quantity than quality; unlike the Germans and the Japanese, then so be it. If they were making great cars, that were affordable and perhaps didnt eat as much gas like a hybrid, we would have bought them. Pure and simple.
As for the second question, question "b"; what to do about those bonuses? That's pure and simple too. If the government owns 80% of AIG, that is enough ownership to disallow the previous contracts which guaranteed those bonuses. Anyone in business knows that contracts are only as good as the paper they're written on. So tax them at 90% ? Absolutely- I say tax them at 100%. Take the 170 Billion back and let them figure out how to pay out the $165 million to the 400 AIG current/former employees. If they/AIG feel the contract on bonuses must be honored; then let them do it, not the American taxpayer. Let the folks at AIG and on Wall Street feel what it's like to be an average American for a change.
Leslie Marshall
The Leslie Marshall Show
"The Only True Democracy in Talk Radio – Of For And By The People"
www.lesliemarshallshow.com
Posts
Hey they worked hard... they deserve their bonuses
ReplyDeleteThey worked hard? At failing? If they worked so hard, what were their results? Their results were they were bankrupt and needed 170 BILLION from we the taxpayers.....if you get bonuses for that, sign me up!
ReplyDeleteLeslie Marshall
"Hey they worked hard... they deserve their bonuses"
ReplyDeleteWHAT???? Are you kidding me!!! Make them pay it all back. If they want to pay a bonus, not on our money.
I am all for rewarding pay for performance. Their is no reason to pay a retention bonus because if we couldnt retain these people there are currently in excess of 10,000,000 that dont have work. I am sure someone in that pool should be worthy of working for AIG.
I know that I may be unpopular with this view but hear me out...
ReplyDeleteSen Chris Dodd and this administration approved the bonuses. To suddenly now tax them at 91% is almost as wrong as the payouts themselves.
It is a violation of the US Constitution for Government to create a law that targets a specific group of people and its a violation of the US Constitution for the Government to step in and try to void or make adjustments to a contract between 2 parties.
Am I upset that 200+ Million tax payer dollars is going to Bonuses... absolutely!!! But do we tax the individuals at 91%... NO!!
The solutions is that we need to simply demand from AIG that they re-pay that money back. If we contractually gave it to them fair and square we move on and make sure that any future "bailouts" specifically require that they report current salaries of all employees with Documentation and make it unlawful for the recipient to pay anything more than Regular Wages or vacation time.
You dont like it, you cant have no money!... But to tax them at 91% is wrong.
Hi Leslie, I am confused with your postion. I heard you defend the presidents stimulas with the logic that it wasn't an option to do nothing. The feds reduced interest to Zero and what else could he do. This was on the Fox Full of bull $hit show. What little I have read and listen to AIG was and is a critical institution to keep up if you beleive the key to this recession is going to be corrected.
ReplyDeletePeace
Did you hear that now they are saying that AIG was just the tip of the iceberg and there are many others with as high as 25% of bailout money going as bonuses...
ReplyDeleteAnonymous:
ReplyDeleteGod I hope you are wrong.... that is just criminal!!!