Monday, March 16, 2009

Is This The Answer to the Bonus Problem

I see from many posts on teh internets that the AIG thing is raising temperatures all across the USA in much the same way that Fred Godwin raised 'em over here. It seems that in the USA at least congress has the power to impose small specialised taxes in unusual or extrraordniary circumstances. Now, it seems to me, that if you bail out a bank or a company to the tune of some $170m and when you suggest that lare bonuses are inappropriate in the circumstances and that bank/company's CEO essentially tells you to 'blow it out your ass' then the imposition of a tax on bonuses at, say, 95% is not unreasonable. Congress can do this apparently. Can the House of Commons?
Footnote: all our bile seems to be directed at Fred Godwin but all the Bank of Scotland are getting bonuses. How come we haven't heard about them?