Capitalism pays better than Socialism. General Motors Co (NYSE:GM) CEO Dan Akerson has requested a no increase to his compensation despite some pretty good returns in the past two years. This of course is as long as Uncle Sam retains an ownership interest which is still around 19%.
The House Oversight and Government Reform Committee will hold a hearing on
executive pay at the companies that received bailouts. GM will be a topic of
discussion along with automotive lender Ally Financial Inc.
In the meantime Ford (NYSE:F) which did not take a penny despite tangible problems at the time was able to pay Alan Mulally some $29.5 million in 2011. The company also gave him $58.3 million in stock as a reward for the auto maker’s turnaround.
End of Lesson