Obama’s Salary Cap

Wall Street’s uber-rich CEOs may have to prepare for a future of mere ordinary richness: The Obama administration plans to cap executive compensation at $500,000 for companies receiving federal bailout dollars. Executives will also be prohibited from receiving a bonus of more than their base pay. At a press conference with Treasury Secretary Timothy Geithner this morning, Obama said “In order to restore our financial system, we’ve got to restore trust ... And in order to restore trust, we’ve got to make certain that taxpayer funds are not subsidizing excessive compensation packages on Wall Street.” Geithner said, “There is a deep sense across the country that those who are not responsible for this crisis are bearing a greater burden than those who were."