In case you were concerned about the meager post-bailout paychecks of those top A.I.G. execs, no need to worry. Kenneth Feinberg, the Pay Czar, is taking the un-czarlike step of showing mercy on the bailed-out brass, after the Journal reported yesterday that five executives had threatened to quit.
A.I.G. seems to have shown how even the most maligned company can deal with Mr. Feinberg, who controls the pay of the company’s top 13 employees (it was the top 25, but 12 have left the company). Last month, C.E.O. Robert Benmosche led the insurrection by floating the idea he might leave the company, and wound up with a $7 million dollar compensation package. Now, Mr. Feinberg is backing down from even lower-level executives, lifting a $500,000 pay cap, and and apparently reconsidering his pay recommendations for the company’s top 75 employees (for which he has an advisory role).
“On Wall Street the alleged showdown is being followed as anxiously as a “Lost” cliffhanger,” reports ABC News, which happens to be the network on which ‘Lost’ airs.