Salary control: You knew it was coming
This is not a surprise. Grabby Hands Barney Frank has been signaling his salary control plans for weeks. In early February, you’ll recall, he told Business Week that compensation restrictions might be restricted to all US companies, not just TARP recipients.
Now, via Byron York:
[I]n a little-noticed move, the House Financial Services Committee, led by chairman Barney Frank, has approved a measure that would, in some key ways, go beyond the most draconian features of the original AIG bill. The new legislation, the “Pay for Performance Act of 2009,” would impose government controls on the pay of all employees — not just top executives — of companies that have received a capital investment from the U.S. government. It would, like the tax measure, be retroactive, changing the terms of compensation agreements already in place. And it would give Treasury Secretary Timothy Geithner extraordinary power to determine the pay of thousands of employees of American companies.
The purpose of the legislation is to “prohibit unreasonable and excessive compensation and compensation not based on performance standards,” according to the bill’s language. That includes regular pay, bonuses — everything — paid to employees of companies in whom the government has a capital stake, including those that have received funds through the Troubled Assets Relief Program, or TARP, as well as Fannie Mae and Freddie Mac.
The measure is not limited just to those firms that received the largest sums of money, or just to the top 25 or 50 executives of those companies. It applies to all employees of all companies involved, for as long as the government is invested. And it would not only apply going forward, but also retroactively to existing contracts and pay arrangements of institutions that have already received funds.
In addition, the bill gives Geithner the authority to decide what pay is “unreasonable” or “excessive.”And it directs the Treasury Department to come up with a method to evaluate “the performance of the individual executive or employee to whom the payment relates.”
The bill passed the Financial Services Committee last week, 38 to 22, on a nearly party-line vote. (All Democrats voted for it, and all Republicans, with the exception of Reps. Ed Royce of California and Walter Jones of North Carolina, voted against it.)
But you can thank the 85 Republicans, led by Minority Whip Eric Cantor, who helped pave this path with their hysterical vote for the 90 percent AIG bonus tax.
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I believe the document was designed to change with the times. I believe that’s why there is a process to amend it.
Amen Shinola.
I’d say right now there’s a Beck. And he’s doing a great job.
RWR
http://www.rightwingrocker.com
Why stop there?
Let’s set salary caps for ALL working people.
Who is John Galt?
Controlling someone elses salary is exactly what old pimps do.
I would expect no less from this old pimp.
Responding to Marco Polo:
Nonsense. Government could always do that. And if freedom of association was done away with how do you explain the weekly rallies held by Move On, ANSWER, etc?
Hundreds of people, eh? Name one.
The imagined war against librarians is, and always was, paranoid nonsense. And here’s a newsflash: it’s always been illegal to impede an investigation by tipping off its subject.
The government could always monitor such conversations, so that’s another straw man. Americans in the criminal justice system still have the right to an attorney, and those held as enemy combatants have the right to have that status reviewed.
Really? Show me where it says that, then show me where it actually happened.
Nonsense, for the same reasons as above re: representation.
Nonsense, for the same reasons.
Every single thing on your list is paranoid drivel. The bottom line is unless you’re a Jihadi your life and your freedoms are the same today as they were in 1999. You cannot show me one prosecuted librarian, one innocent American hauled off to jail in the middle of the night or one group of dissidents rounded up and put away. Not one.
Obama and his crew, on the other hand, in a mere three months have invalidated private contracts, meddled in private business to an unprecedented degree and have been quite open about their intent to socialize America. That’s not hypothetical, it’s fact. Happening right in front of us.
You can bet….never mind…
Michelle,
I bet you’ll never see this act from congress: http://www.usatoday.com/news/nation/2009-03-30-rescind_N.htm
Good luck finding anyone other that a GP in the county health system. If you need surgery, might as well travel to Canada or Mexico.
Excellent post!
The list at that link is the same type of vague, lame, unsubtantiated BS as what muslims utter when they claim that the jihadist barbarian nutcases are not following “true” islam.
I feel like a bus ride is coming up to Barney’s hostel…
We’re just going to disagree on this.
I can’t debate with somebody who relies on “paranoid nonsense” to refute a new law, hich was actually ruled unconstitutional by an apparently paranoid nonsensical court.
But if the government *has* always been allowed to gather intelligence on us, it would seem to negate the necessity of passing the Patriot Act.
You wanted a list – there’s mine. You can say those don’t count, but I say they do. Don’t be surprised when the next administration takes them up one more notch.
We’re just going to disagree on this. I mean, what rights have we technically lost under Obama?
I can’t debate with somebody who relies on “paranoid nonsense” to refute a new law, hich was actually ruled unconstitutional by an apparently paranoid nonsensical court.
But if the government *has* always been allowed to gather intelligence on us, it would seem to negate the necessity of passing the Patriot Act.
You wanted a list – there’s mine. You can say those don’t count, but I say they do.
You shouldn’t be surprised when the next administration takes them up one more notch.
I wasn’t.
Barney Frank… poster boy for term limits…
This is the kind of crap that would make me very leery of taking a mortgage bailout. Sure they’ll rewrite your terms today so your payments are lower, but what happens when you get a raise or a better-paying job? Are they going to come back and say now that you make more money you can afford a higher mortgage and raise the interest rate or principal, perhaps even retroactively to when your income went up?
There is an old axiom, you can retitle my job, you can make me work different hours, you can change my job, BUT IF YOU SCREW WITH MT WALLET then be prepared for a fight !!!!!
hmm, I did just have a delicious thought about this bill. Hollywood is constantly taking government money, or else they threaten to move their production to other parts of this world. I would love to see 250K cap applied to every actor, producer, and director in our liberal la la land of Hollywood.
Please define what you consider to be the “rights” of the people. I ask because there are two ways to look at the question. The first way is that our rights are limited to those enumerated in the Constitution, specifically those contained in the Bill of Rights. The second way is that our rights are NOT limited, instead our rights include everything NOT prohibited by statute or law.
I believe the intent of the drafters was to define a set of MINIMUM rights that could NOT be abrogated by statute or law – those are the rights enumerated in the Bill of Rights, however our true legal “rights” extend fully up to conduct prohibited by law or statute.
Using that definition, within the last 70 days we, and most importantly our children for generations to come, have suffered a nearly incalculable loss. For example, we are facing a budget deficit that will exceed $11 Trillion (pre-interest) dollars. The tax burden that debt will place upon our children for generations to come will impact every aspect of their lives – their “life, liberty, and pursuit of happiness” if you will.
In a more formalistic argument, it is well established law (Santa Clara County v. Southern Pacific Railroad Company, 118 U.S. 394 (1886)) that a corporation is treated not as a governmental entity, but instead as a “person,” enjoying the same rights, privileges and responsibilities. With the most recent actions of the government, the de facto “takeover” of General Motors under the auspices of “receiving government benefits” is tantamount to the government telling a social security recipient not only HOW but WHERE to spend their “government benefits.” I believe that an argument to the effect that the government should not have such control over an individual receiving government benefits, but should have such control over a corporate entity receiving government benefits, runs afoul of the corporate person definition in Santa Clara County.
Thus, governmental intrusion into the operation of a business is clearly an abrogation of the rights of the judicially created corporate “person.”
from, Shinola
I’d say the actual reason you can’t debate is that all you have are baseless assertions. By the way, did you notice that the author of the post you linked to said that the press had become lackeys for Bush and refused to investigate him? Based on that statement alone I’d say the author is far too delusional to use as a source.
I say they don’t count because A) there’s nothing on that list that originated under Bush and B) you can’t show me a single actual American citizen that was affected.
Some people have lost the right to negotiate contracts. The government is trying to nationalize the banking & healthcare systems and the fairness doctrine is an even bigger assault on the First Amendment than McCain-Feingold (which, now that I think about is, makes one legitimate Civil Rights beef one could have with G.W. Bush).
And the worst part is it’s not like Obama and Co. even deny any of this. The one thing I have to give them credit for is that they’ve been perfectly upfront about their goals.
hi, i’m from the government, i’m here to help you. ask farmers, coal miners, uaw workers, blacks, etc. 50 years experience ought to be enough to teach even the densest moron.
Let’s see. Let’s starting adding all this up…We are now being taxed on everything to pay for the stupidiy in congress, we are going to have our salaries cut, gas is going to go to $4 again. Our kids are going to be taken from us metally if not physically. Kinda sounds like change to me…but the wrong change. This gov’t is playing with fire and they are gonna get burned…
if only i could spell when i get mad
Didn’t Obama promise those bank executives last week that if they show restraint, the admin would ease up on the anti-compensation rhetoric?
This is another example of how it’s every man for himself in Washington. No one is in charge of these windbags.
You know, it just struck me: Uncle Stalin is about to start the stimulus money coming to us in our paychecks.
I smell a rat. These stinkin’ things can be construed as “capital investments”. They are going to use these penny-ante “payments” to increase their control over each and every one of us.
Hide and watch.
Re: “Pay for Performance”
This applies to Congress, right? Or does “performance” relate to theatrics….
Not really we’ll see pay cuts their voluntarily since they will not need to compete for top employees.
Who is John Galt?
Amen.
I have a question.
The piece quotes the following provision in the proposed law:
Given that the evidence is now pretty clear that Congress is passing legislation it has not read, maybe the time has come to rollback the compensation packages of Representatives and Senators.
Oh, gosh! I sure hope they don’t plan on curtailing compensation in ~government~ jobs to bring it in line with performance.
Truly this would be an occasion for the headline, “Minorities Hardest Hit.”
Any lawyers out there who want to sue the US Government on violations of the Constitution. We need a class action suit my friends. Yes we are capable in sueing the government.
In the past when you were paid in company script, could only shop at the company store, and could only rent housing from the company if you worked at the wages they chose, it was found to be “Involuntary servitude” and against the Thirteenth amendment. Under the new political ruling class it is the new model of freedom.
WTH?? Pardon me if someone else has already mentioned this (I didn’t take time to read all the comments), but wouldn’t it be nice if they could impose these performance-based restrictions on teachers? Their salaries are ALWAYS paid by the government!
Hey isnt congress getting capital investment from the US Government?
I guess the next bill should be to retroactively take back their pay and their future automatic raises.
The boobs in Washington aren’t bothering to amend the Constitution; they are just ignoring it. You want to amend it? Go ahead, and try. It isn’t easy for a reason.
I’m for a new Congressional Compensation Package Act: We’ll pay you this much a year. For every bill you introduce or sponsor, for every vote that you cast, for every press conference you hold, for every committee meeting you attend, we take back a percentage. There will be no contributions from lobbyists, free trips, or anything other than your pay allowed.
ECS
I could care less about his enunciation or his sexuality. It’s his politics and meddling in the private sector that scare me.
Bend Over Here It Comes Again (BOHICA). Our butts are getting damn sore. Looks like more to come. They don’t even give us any K-Y to ease the pain…
I don’t care about his lisp and sexuality either, but a statement of incitement seems to be their forte and I will use it too!
Whilst Barney Frank is yet another poster child for term limits, I do agree that there should be limits on executive compensation if their companies are getting Federal loan guarantees and other types of Corporate Welfare.
I’d also be happy to see a $250k limit on professional athletic compensation if their teams play in venues which were built with public money or subsidies such as “Double tax-free” municipal bonds.
This guy is a joke, a crook. He ran a prostution biz out of his basement – and don’t tell me he didn’t know about it – he’s creep and repulsive.
Thank you, Salt.
The problem with the split republican vote on the bonuses is that there was no clear strategy. The republicans have to vote as a unified block to position themselves for the next election. If there is a message in the vote they all have to agree on it.
Barney Frank should be investigated and tried and convicted.
Barney Frank should shut his multi-purpose mouth.
…and I hope his boyfriend is in it at the time.
Yes, but your earlier comment was likewise. It’s OK to be angry; just please don’t be hateful.
Sorry Vickisoup. I call a spade a spade and never sugarcoat anything. Hateful is your interpretation. Reality is mine!
Is there any precedent for the amount of legislation done in such a short time to undermine our free economy? I’m not sure with all of this legislation (which, it appears, will not be covered by the MSM) we can even wait until 2010.
They, both D and R, are sticking it to us. It doesn’t matter how many letters or phone calls they get: they don’t care. I’ve never felt so disempowered in my life.
Marie, if making fun of someone’s speech impediment, and derogating gay people with hurtful and inappropriate labels are your “reality”, then so be it. Don’t pollute this blog with your bigotry.
Okay Vicki… if you think Barney Frank
is NOT polution…. so be it!
No there wasn’t. But now there is.
When, and a great big IF the pubs ever take control again of what’s left, the new POTUS will be able to just rescend any law, any regulation, any part of the constitution that fits his/her agenda, and appoint any thugs, cronies, cheats liars and thieves or other libs,to the most power positions in what used to be the God Blessed United States of America.
Prescence already set.
The bill was written by Rep. Allen Grayson (D-FL), a man who was once the President of IDT Corp. which was recently fined by the FEC for aiding former Haitian dictator Jean Bertrand Aristide loot his nation.
Grayson’s IDT had a cut-rate deal to terminate calls in Haiti while depositing much of the remainder in a Turks and Caicos bank account.
So a Democrat whose company had a kickback scheme that allowed a dictator to loot his nation now wants control over this nation’s salaries.
One would think that a graduate of Harvard and Harvard Law would be bright enough understand that the passage of this bill would mean that the named companies would be be forced to rely not on the best and the brightest but on whomever is willing to work under the “salary cap”.
Thank you voters of Orlando, Florida.
I posted on this issue today.
Is it just me, or has anyone else noticed how much the Democrats and their punch drunk “Car Dealer in Chief” are enjoying this economic crisis and the power grab it has afforded them? Does anyone think they’re anxious to end this crisis?
If you think that prolonging the crisis for the purpose of greatly expanding government will hurt the Democrats politically, think again. No matter how long our problems continue, their stock answer will be, “Things would be much worse if it wasn’t for us.” It worked well for FDR.
There are more people dependent on government today than during the Great Depression. Even in the private sector there are many who depend on continuing government bailouts to keep their jobs. Do you think any of these people want the government to spend less? If things don’t improve, who are they going to vote for?
Our only hope is that Democrats overplay their hand and wake up the people in time to stop them. In the past their Achilles heel has been their uncontrollable urge to raise taxes. Now, we can add to that the sister urge to artificially increase energy costs. I don’t believe they have the patience to “heat the water slowly.” We may still have a chance to wake up and jump out of the pot before we’re cooked.
Papa, yep. Check this out.
What about Chris Dodd, Harry Reed, Kerry and Kennedy. Screw it, Congress is a poster boy for term limits.
Since his job is fully funded by government, how come Barney Frank isn’t clamoring for CONGRESS to only get compensated based on performance? Or how about teachers?
Just file that under “things you’ll never see.”
If ya ask me, I think Barney Frank sucks.
NEW RULE ADDED TO THIS SITE’S TOS:
Do not mention “leash” and you-know-who in the same comment.
*sigh* This is so far beyond parody now.
So Mr. “I like smooth young hairless boys” has finally decided that the Governement needs to tell people just how much they should make, how they should live, what kind of lifestyle they should be able to afford etc., huh?
And where are all the supposed Republicans and Conservatives in Washington and elsewhere that are supposed to be standing against all of this? How is it possible that ANY of what these Communists are doing could possibly be considered “Constitutional”?
Where is it written in the Constitution that ANYONE in the United States Congress is allowed to EVER state how much a person is allowed to make, be paid, be reimbursed, be awarded or whatever they want to call it?
If I am not mistaken the Constitution of the United States of America GUARANTEES the EXACT OPPOSITE of what Obama, Frank and the rest of these hoodlums and thugs are doing since they took over in 2006 and especially since they had Obama usurp the Presidency only 72 short days ago.
Every day brings AT LEAST one more action that is completely opposite of what the Constitution and the Founding Fathers intended for this country. MILLIONS of men and women have given their lives for this nation and yet, in less than 3 months these Communist thugs have all but erased everything they fought, suffered and died for.
When are the supposed Right-Wing going to stand up and fight these people? When are they going to let a pair drop and tell them “NO MORE!!!!”
When the nation is being fed feces and told by Obama that it is ice cream and they believe it, there is something so vastly wrong that it would take days to explain.
Yet it continues. If people were ever told the truth as to what they have done, are doing and are planning to do, there is no way he would be able to stay in office, nor would these thugs get away with the rest of their plans. When? When will this finally strike home with those supposed to be in opposition?
Penalties for the Important People? Surely you jest–they would have not been hit with the back taxes if they were just slightly lower profile.
Yes indeed this is far beyond parody now, more like a Faustian Bargain. But the people have chosen a man who told them what he was going to do; all they had to do was look and listen. Sadly only the Bitter Clingers, racist and anti-semites did I hear..
3 words:
Don’t take it! If you don’t take their handouts, you don’t have to be beholden to the government. Just an idea.
RF, I was thinking exactly the same thing today when I was watching Fox News. I guess since there’s no republican control in congress, they’ve just fallen off the radar. Sad for America.
Someone needs to control Barneys salary, the damage he’s done for the amount of money he gets paid is totaly unbelievable. time to say Bye Bye Barney,in my opinion you’ve done more than enough dammage to this country. You are the main reason for the Fanny, Freddy, debocal.
It’s a shame we don’t execute people for treason.
In your case I would maybe except sharia law.
You care not for the damage you’ve done or the people you’ve hurt. Cause you got yours… $93,000 a year for life. May God have mercey on your soul.
Yes, Ford is looking smarter all the time for forgoing all the bailout money.
What I find staggering is that the author of the Bill, Rep. Alan Grayson, seems to think that only corrupt lawmakers would vote against government-set salaries:
Actually, Rep. Grayson, we’ll find out who’s committed to the Constitution and limited government, and who’s willing to sacrifice those principles for political points.
There, fixed it for ya.
*Simple remedy for any company out there; Don’t get in bed with the government in general, or Barney Frank in particular.
*Hard for the GOP to mount a charge and return to power in 2010 when they have 85 of their own, including death stars like Cantor or Ryan, voting in favor of this clearly unconstitutional legislation; Here they are trying to make up about 40 seats in the house while they have such a substantial group appearing as Democrat Lite; What say you Michael Steele Wool?
Oops! Barney left his teeth in the House men’s room again!
The Republicans held control of Congress for 12 years…if holding control is how anyone would describe it. During that time, they allowed the Democrats, who were in a vast minority for a good deal of the time, to continue to run things as they had done throughout the 70’s and 80’s. I sat and watched and wondered just what it was that had the Republicans so damn terrified? Why were they not strutting around, spouting off, “We won, so shut up”, the way the Democrats have been doing for the last 2+ years? instead, the were like abused spouses who tried their best not to upset the Dems because they were afraid of getting yelled at or whooped on. Was it any wonder that they lost in 2006? No. Because they continued to allow the Democrats to set the tone, to set the agenda.
Even now, when they are in the minority, when the Democrats have been running the show for over two years, they sit on their hands and do nothing. Everything that is happening now to our country and our economy is directly related to the Democrats and their policies for the last 2_ years. Yet the Republicans allow them to continue to lay all the blame on the Rupublicans. They allow the Liberals to continue to blame the Republicans as if the Reps were still in power.
Instead of having any number of so-called Conservatives calling a daily press conference on the steps of the Capital every stinking day, driving the facts and the point that the Dems have been steering this ship off the waterfall for several years now, the way the Dems had been doing for 12 years, they continue to remain silent. Those that don’t remain silent just happen to be the ones who are voting and capitulating with the Democrats. They are the ones who are terrified of Obama. They are the ones who have allowed themselves to buy into the whole “Don’t speak out, else you may be called a racist…or worse”. The American public, at a time when they should be in the streets, crying out to have Obama impeached for his blatant trashing of the Constitution and Socialist/Marxist power-grabs that has been happening every single day since the moment he took his FIRST Oath of Office, are being propagandized in a way that would have Goebbels writing books to make sure others learn the ways of the lies. When his popularity should be tanking faster than Jimmy Carter’s, it remains steady, propped up by lies, the MSM, and the silence of the Right-Wing.
It is time we do something. Not just hitting the streets to declare our disgust with the bailouts, but to make sure every single Republican knows that we are tired and disgusted with their namby-pamby, hand-sitting, milktoast attempts at being our representative. It is time we scream with all our might that they get up off their collective arses take on the Democrats head to head. It is time we take on those that would call us racists face to face. Until such a time comes when those that falsely call themselves Conservative finally sprouts a pair, we should not stop. Do not be satisfied with the occasional “Oh look, it seems someone is finally growing a pair”. That is not enough. This country needs to be told the truth. Capitalism is good. Capitalism was NOT the issue. Socialism will leave people in poverty the likes of which will take DECADES to recover from, if recovery is even possible. The realities need to be expressed with the loudest of voices.
If you don’t already have a blog, get one. On it, scream the realities of who this horror is in the Oval Office and the realities of what it means should more of his agenda be made reality. Make sure that when someone Googles Obama or any of his agenda, they are met with a litany of blogs telling the truth of what he and his minions are doing. Never back down from his minions and their lies. Instead, be louder than they and make sure anyone around hears what you have to say. They will fold like a bad map when confronted with the truth.
If the wimps in Washington won’t do it, then it is all the more important that we do it as quickly and as noisily as humanly possible. If we are going to be taken down the dark path of Socialism, Marxism, and Obamamism, then go down kicking and screaming and with the TRUE American flag clenched tightly between your teeth.
Folks, I need an opinion, I ordered a vanity plate “US Isno1″ and its here..
One of my close friends is talking me into, to not have it. She thinks its too cheezy. I am confused, I ordered it as a way to show my patriotism that United States of A is still the best country to live and hope for the world.
Us is no one? (so no one is us?)
———————-
I say that if ‘they’ put compensation limits on all corporations, as soon as it is enacted, everyone in the USA should immediately go on strike.
Just like on 9/11 when the US economy came to a standstill, we can shut down this government and take it back from these idiots.
its meant to be US is #1
I do not worry for the employees, they will most likely earn twice their present salary. Look at the over paid under utilized Federal workers, I spent over 20 years at an Army Post as active duty NCO and saw first hand how the Federal employees get paid. May the bank employees can join the Union with the Federal Employees, talk about job security.
Too cheesy? And this friend of your’s does not like cheeseburgers? It is a fine statement-use it.
And it is nicer than the plate my wife got for me:
HELPIAMLOSTAGAIN
Az-
Thats funny!
When I am in the Valley of the Sun, I don’t drive and use the buses to get around when I visit my family there.
GSP
“This is Sparta!”
Ya’know, it’s funny. I am tormenting my present student with the unabridged audio book of Atlas Shrugged. A few years ago was one thing. But with each day that passes now, we are getting closer and closer to living the events of that book pretty much to the letter.