The ridiculousness of the collusion between Washington and Wall Street knows no end. Once again, we see the lax regulation and oversight of our government helping those that need no extra help while the rest of us suffer. If a regular person lost all their money, Congress would never give them billions to replace that loss and allow them to receive an additional bonus. Yet come Christmastime, Wall Street executives are going to see larger bonus checks than they thought they'd get before the government bailed them out.
From Time:
Uncle Sam has a new name on Wall Street — Sugar Daddy. Bonuses for investment bankers and traders are projected to fall by 40% this year. But analysts, compensation consultants and recruiters say the drop would be much more severe, perhaps as much as 70%, had it not been for the government's efforts to prop up the financial firms. "Year-end pay on Wall Street will be higher than it would have been had it not been for the government and mergers," says Alan Johnson, a leading compensation consultant. "You would expect it to be down much more."We, the average taxpayer, are being repeatedly hit in the gut, kicked in the shin and slapped across the face. In a just world, these investment bankers who supposedly have "talent" would be paying back what they lost for their company and ultimately for our economy. People are suffering out there, losing their homes, their cars, their credit...and these wealthy few are still looking forward to six-figure bonuses. Seriously, wtf? W. T. F!!!Johnson predicts the average managing director at an investment bank, a title typically earned around eight years on the job, will receive a bonus of $625,000. That's down from nearly $1.1 million last year, but it is still 15 times the income of the average American household. Top bankers could receive as much as $1 million. Even a bond trader just out of business school could see his or her bank account enriched by as much as $170,000 this Christmas. "The firms have had an extremely difficult year," says Joan Zimmerman, a Wall Street career coach. "But they can't afford to lose talent either."
While the government rescue limits the salaries of five top executives of each of the participating financial firms, Congress did nothing to restrict Wall Street firms from using taxpayer funds to boost the compensation of rank and file investment bankers. "Some people might argue that these bankers should not be penalized if they weren't personally involved in the risky mortgage-backed securities," says Sarah Anderson, project director of the Global Economy Project at the Institute for Policy Studies, a progressive think tank in Washington. "My response is that average taxpayer wasn't either, but she is being asked to take a hit."
How is this fair? Someone want to explain this to me?
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