Skip to: Content
Skip to: Site Navigation
Skip to: Search
SUNDAY, NOVEMBER 22, 2009
| Subscribe to Newser's RSS feeds RSS | Follow Newser on Twitter Twitter


21

Goldman Exec: Pay Inequality Is Good for All

Soaring Wall Street bonuses should be tolerated for economy's sake

Share

(Newser) – Believe it or not, lavish Goldman Sachs bonuses are good news for everybody, a company official told a discussion panel yesterday. The out-of-whack pay inequality will give the economy a kick in the pants, insisted the vice chairman of Goldman Sachs International. "We have to tolerate the inequality to achieve greater prosperity and opportunity for all," he explained to conference members attending discussions on "The Price of Morality in the Marketplace."

 He also emphasized that bankers should give more to charity to boost the industry's image. "To whom much is given, much is expected,” he said. “There is a sense that if you make money you are expected to give." The company has paid back $10 billion in bailout funds and is on course to hand out a near-record $20 billion in pay and bonuses this year, Bloomberg reports.

Goldman Sach's headquarters towers over a New York street.
Goldman Sach's headquarters towers over a New York street.   (AP Photo/Mark Lennihan)
A man walks out of Goldman Sachs headquarters in New York. The company has paid $16.7 billion in salaries and bonuses so far this year.
A man walks out of Goldman Sachs headquarters in New York. The company has paid $16.7 billion in salaries and bonuses so far this year.   (AP Photo/Mark Lennihan, File)
« Prev« Prev | Next »Next » Slideshow

I believe that we should be thinking about the medium term common good, not the short term common good. - Brian Griffith, vice chairman
of Goldman Sachs International

« Prev« Prev | Next »Next » Slideshow
OFF THE GRID
11.20.09
The Health-Care Wars Have Just Begun
11.19.09
Sarah Palin Deserves Some More Attention
21 comments
VIEWING:
 
yummines
Oct 21, 09 2:15 AM CDT
Really? We should tolerate inequality? Since when did inequality mean something good for everybody? How will their bonuses affect the economy in a good way? Please someone tell me how their bonuses will help the little guy out at all. Reply
Vote up! Vote down!
+7
IN RESPONSE:
George_Taylor
Oct 21, 09 2:55 AM CDT
Take the pyramid shape, elites on the top, workers on the bottom. In order to be balanced, they need to equal out, not everyone can be in the 0+ range. For people in the 500+ range there needs to be five hundred -1 ranged people. I figure it's impossible to tip the balance in favor of everyone. By giving more to the rich... (crucial information deleted)... the pyramid balances out and everyone's happy!!! Elitism works for you, didn't you know? *The crucial information was your answer, Yummies, hopefully someone on the inside at the top of the pyramid will spill the secrets for us.
Vote up! Vote down!
+2
IN RESPONSE:
Bambi
Oct 21, 09 9:30 AM CDT
Yummines, I wrote something which speaks to your question, but posted it below...
Vote up! Vote down!
0
IN RESPONSE:
Snowleopard
Oct 21, 09 12:53 PM CDT
some degree of inequality is good, but this is way too extreme. The average CEO earns of 400 times what the front line workers do. A number like 10-20 time should be the average. All the wealth is being sucked out of the middle class, forcing people into indentured servitude - great situation for the rich, really bad for the working class.
Vote up! Vote down!
+1
djferrick
Oct 21, 09 2:18 AM CDT
he could have you killed Reply
Vote up! Vote down!
0

View all 21 comments »

LEAVE A
COMMENT Comment Policy
Facebook ConnectPost this comment to Facebook?

After connecting you will have the option to post your comment on your Facebook profile.

 

Related Newser Stories

105 Stories

 Goldman Bonuses 
 Irk Investors, Too 

Shareholders question need for $20B in bonuses

Nov 20, 09 7:35 AM CST
(Newser) - With Goldman Sachs on course to hand out the highest bonuses in its history, it's not only furious populists who are complaining; investors, too, are getting into the act. Major shareholders, who have stayed out of the executive compensation controversy until now, are calling for the bank to cut back... More »

MORE ABOUT:
Wall Street • executive compensation • Goldman Sachs • shareholders • executive bonuses • Goldman bonuses

Goldman Pumps $500M Into Small Businesses

Blankfein apologizes— but not for the $16B payout to employees

Nov 18, 09 9:20 AM CST
(Newser) - In a move that definitely has nothing to do with spiraling public hostility, Goldman Sachs has announced a $500 million small-business assistance program. Headed by an advisory panel that includes Warren Buffett and Lloyd Blankfein (he who works for God ), the so-called “10,000 Small Businesses” program will... More »

MORE ABOUT:
Goldman Sachs • Warren Buffett • charity • bonuses • small business • Lloyd Blankfein

$250K APIECE

Bonuses at Morgan Stanley, JPMorgan, Goldman Hit $30B

Average payout will be five times median household income in US

Nov 9, 09 4:55 AM CST
(Newser) - Recession? What recession? Some Wall Street firms are not feeling any pain this year as record bonuses at just three of the top firms are likely to hit an eye-popping $30 billion. Goldman Sachs, Morgan Stanley and JPMorgan Chase, the three biggest banks to be bailed out by the feds,... More »

MORE ABOUT:
executive compensation • Goldman Sachs • Morgan Stanley • bonuses • compensation • Federal government • bailout • JPMorgan Chase • executives • Wall Street bailout • TARP

105 Stories


Business 
TwitterFollow @NewserBusiness on Twitter

 
executive compensation • Goldman Sachs • bank • bonuses • financial sector • executive bonuses

from our news partners