Performance-Based Compensation Articles
The Watson Company is a leader in performance optimization products and services. Established in 1983, The Watson Company offers highly-successful programs designed to attract, retain, and motivate people in a cost-effective manner, linking pay to performance in an effort to improve overall quality and results.
Archives
Monday, September 29, 2008
Key Portions of the New Bailout Plan
While we are still assessing the actual legislation, here are some key takeaways:EXECUTIVE PAY. Restrictions would be imposed on the compensation received by executives whose companies sell some of their bad assets through the government's purchase program. There would be tax restrictions on executive pay over $500,000 and limits on so-called "golden parachutes" for executives who leave the companies getting government bailouts.
OVERSIGHT. The Treasury will be required to provide details of its purchases of bad assets within two days of the transaction. Oversight boards would be created including one with members selected by Democratic and Republican leaders in the House and Senate and one that will include top government officials.
TAXPAYER PROTECTION. Taxpayers would be given ownership stakes in companies whose bad assets are purchased and after five years if the government is facing a loss in the program then the president will be required to submit a plan on how to recoup a portion of the losses from the companies that participated in the program.
Labels: bailout plan, compensation, Equal Pay Act, executive compensation, executive pay, McCain, performance management
