AIG's bashful CEO Bobby Benmosche put the fear lurking inside each one of his employees to rest yesterday. When faced with the question 'what is Ken Feinberg going to do to my paycheck', BB made it crystal clear to his troops that they had nothing to fear. The rule of the Pay Czar does not extend very deep into the house the US taxpayer (re)built.
"It is important that all of you know that the Special Master's jurisdiction is quite limited, and we expect Feinberg's upcoming decisions on compensation to cover only the top 25 employees at AIG," Benmosche said in an internal memo distributed around the company late on Wednesday.
If there is one thing Benmosche has been consistent and adamant about since starting it's turning AIG around as fast as possible to repay the US taxpayer making sure his people get paid competitively. But the real question is what does the guy at the top think about how his pay package stacks up. His predecessor made good on $1/yr.
He has called his pay package "the bottom end of a competitive range."