PLEASE HELP SPREAD THE WORD
/LimitExecutivePay
We propose that a two-tier corporate income tax be imposed that provides for tax savings for benefit corporations that abide by a number of guidelines, including limiting executive pay in relation to average worker pay.
We agree with Elizabeth Warren (2020):
"We should impose tough new executive compensation rules for bankers that discourage needless speculation and encourage productive investments. If a banker makes a big bet and wins in the short run, he can get a huge year-end bonus. But if he makes a big bet and loses — either immediately or in the long run — his firm takes the loss and no money comes out of his own pocket. This all-upside, no-downside arrangement was one of the key drivers of the excessive risk-taking in the lead-up to the 2008 financial crisis.
Almost ten years ago, Congress directed federal regulators to impose new rules to address the flawed executive compensation incentives at big financial firms. But regulators still haven’t finalized (let alone implemented) a number of those key rules, including one that would claw back bonuses from bankers if their bets went bad in the long run."
"We should impose tough new executive compensation rules for bankers that discourage needless speculation and encourage productive investments. If a banker makes a big bet and wins in the short run, he can get a huge year-end bonus. But if he makes a big bet and loses — either immediately or in the long run — his firm takes the loss and no money comes out of his own pocket. This all-upside, no-downside arrangement was one of the key drivers of the excessive risk-taking in the lead-up to the 2008 financial crisis.
Almost ten years ago, Congress directed federal regulators to impose new rules to address the flawed executive compensation incentives at big financial firms. But regulators still haven’t finalized (let alone implemented) a number of those key rules, including one that would claw back bonuses from bankers if their bets went bad in the long run."
