Here are the key data points:
• The average CASH payout for the top 25 execs at the 5 companies that were bailed out by Uncle Sam — AIG, Chrysler, GM, GMAC and Chrysler Credit — has been cut in half since 2008 to $469,777.
• For the top earners at those companies, pay is expected to fall by 11% to $1.62 million.• Total compensation is down nearly 77% from 2008.
• More than 70% of all approved compensation is expected to be given in the form of stock instead of cash this year.
Oh well, that’s what happens when you run your firm into the ground.
Here’s your NYT excerpt:
“For months, Wall Street banks and the troubled automakers feverishly protested that their top executives would flee if they were not lavishly rewarded for their talents. New data, however, suggests the departures were more of a trickle than a flood.
Of the 104 senior executives whose pay was set by the federal pay regulator in the last two years, 88 executives, or nearly 85 percent, are still with the companies even though their pay was drastically cut back, according to people briefed on the government data.
The relative stability, at least within the executive suite, suggests that a soft job market, corporate loyalty and personal pride helped deter the feared management exodus at the companies hardest hit by the pay rules.”
Gee, complaining execs turn out to be full of crap — who could have ever seen that coming?
One last note: None of this data includes comp from Bank of America/Merrill Lynch, Citi, Goldman Sachs, Fannie/Freddie, JP Morgan/Bear Stearns, Morgan Stanley or Wells Fargo . . .
Few Fled Companies Constrained by Pay Limits
NYT, March 22, 2010