Under pressure from Attorney General Andrew M Cuomo of New York, the American International Group that it would pay its chief executive, Edward M Liddy, only $1 a year and that it was freezing the salaries and eliminating bonuses for its seven other top executives.
In addition, the troubled insurance company said its next 50 highest-ranked executives would not receive salary increases through 2009.
AIG’s cutbacks on executive pay came after Cuomo questioned last week whether the company actually planned to give out raises and bonuses to top executives, especially in light of the federal government’s $150 billion bailout of the company.
The company said it was taking steps to ensure that no government money would be used for bonuses and cash awards to its 60 top executives.
Source: NYT News Service
1 comment:
After steve jobs,narayanamurhty now its time for AIG also...its devastation times for BFSI sector..isn't it.great story sir...the first post also sounds great...well what more to say..keep posting these wonderful articles and shed some light on this sector.
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