This is going to drive Republicans Rush Limbaugh crazy:
Administration Seeks Increase in Oversight of Executive Pay
WASHINGTON — The Obama administration will call for increased oversight of executive pay at all banks, Wall Street firms and possibly other companies as part of a sweeping plan to overhaul financial regulation, government officials said.
The outlines of the plan are expected to be unveiled this week in preparation for President Obama's first foreign summit meeting in early April.
Increasing oversight of executive pay has been under consideration for some time, but the decision was made in recent days as public fury over bonuses has spilled into the regulatory effort.
The officials said that the administration was still debating the details of its plan, including how broadly it should be applied and how far it could range beyond simple reporting requirements. Depending on the outcome of the discussions, the administration could seek to put the changes into effect through regulations rather than through legislation.
One proposal could impose greater requirements on the boards of companies to tie executive compensation more closely to corporate performance and to take other steps to assure that outsize bonuses are not paid before meeting financial goals.
This proposal is no joke. It isn't limited to just AIG, or even just TARP recipients. It aims at a fundamental overhaul of the way things work at financial institutions and publicly traded companies, not only with respect to executive compensation, but also in terms of how complex financial instruments like derivatives are regulated.
It's going to draw a bright line between those who are simply bloviating about executive pay (Republicans focusing 100% on AIG's bonuses) and those who want the fundamental reform and change President Obama promised during the campaign (just about everybody else).
In short, it's going to make hacks like John Boehner and Eric Cantor put up or shut up. Take a guess at which they're going to do.
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