Posts Tagged ‘executives’

Brain Drain??

October 27, 2009

I read an article the other day about the steep reduction in pay being forced upon the executives of the large banks that had received a government bailout.  The concern that was expressed was that these individuals were brilliant in their fields, and that if they were not paid what they thought they  were worth, that they would quit their jobs to work for someone else.

If they are so brilliant, then why did the government need to bail them out?

For most people, if their area of responsibility had failed miserably, they would be looking for a new job, not cashing bonus checks.  Are they going to put on their resume  “We oversaw the destruction of our last company, now what can we do for you”???

If the government had not bailed them out, either they would have worked themselves out of the hole, or they would have been fired and replaced, or their entire business would be consumed by other businesses that were run more efficiently.  The business world can take care  of itself.  The strong survive, the weak are devoured.

Why did we interfere?

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