I Wouldn’t Walk That High Wire Without A Parachute

Professional blowhard Sen. Henry Waxman is at it again.

Two high-profile former Wall Street CEOs and the head of the nation’s largest home lender will testify next week before a congressional committee examining the link between executive pay and the mortgage crisis.

Apparently, he’s gone from worrying about baseball to worrying about how corporate executive pay is determined.

In December, the same congressional panel, chaired by Rep. Henry Waxman, D-Calif., heard from experts about another hot issue in executive pay: Are compensation consultants who get hired by directors to advise on executive pay conflicted?This time around lawmakers are expected to take a closer look at how the compensation and severance packages of Mozilo, O’Neal and Prince were set and approved by their respective boards.

Waxman’s committee will also hear from corporate directors who signed off on their pay packages.

The fact that two of the three executives, Countrywide Financial’s founder and CEO Angelo Mozilo, former Merrill Lynch Chairman and CEO Stanley O’Neal and ex-Citigroup chief Charles Prince, have lost their jobs and the third has lost $37 million in compensation isn’t enough for Waxman. He’d prefer that they do their high wire acts without parachutes (as if they’d try that at all). Perhaps he’d prefer it if they did business without any compensation whatsoever?

Explore posts in the same categories: domestic, Economics, politics

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