Wall Street's switch to higher salaries and lower bonuses to avoid TARP caps may have unintended...


Wall Street's switch to higher salaries and lower bonuses to avoid TARP caps may have unintended consequences: mass layoffs. Without the flexibility to cut bonuses during lean periods, fixed costs such as high salaries leave firms with little alternative but to cull the ranks.
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Comments (6)
  • OptionManiac
    , contributor
    Comments (3498) | Send Message
     
    Can't cut salaries? Like unions agree to do?
    21 Jun 2011, 12:57 PM Reply Like
  • Ken Hasner
    , contributor
    Comments (425) | Send Message
     
    "little alternative but to cull the ranks."

     

    I guess the 'ranks' don't include the senior executive team....again the boards asleep at the wheel.
    21 Jun 2011, 01:04 PM Reply Like
  • aikcharlotte
    , contributor
    Comments (31) | Send Message
     
    Cull away.
    21 Jun 2011, 01:06 PM Reply Like
  • kmi
    , contributor
    Comments (4587) | Send Message
     
    More middle class job layoffs.
    21 Jun 2011, 01:37 PM Reply Like
  • Glocks-n-Gold
    , contributor
    Comments (211) | Send Message
     
    About time those bstrds experience how the rest of us have been having to live.
    21 Jun 2011, 01:41 PM Reply Like
  • Monngie
    , contributor
    Comments (973) | Send Message
     
    I'd like to say cull, cull, and cull somemore. But, the ones that get culled aren't the ones responsible for the problems.
    21 Jun 2011, 08:37 PM Reply Like
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