While there has seemingly been an endless amount of bitching and moaning over Comp Cop Ken Feinberg's infernal "views" on banker compensation, so far no one has actually been able to come up with a legit reason for why his freaky ass rules should be scrapped. Until now. Surely hearing that his pay structure is throwing a wrench in finance guys' plans to leave their wives without rendering themselves penniless will be a wake-up call to K. Fein that all of this has too far, right? I mean, he's got to listen to reason, DOESN'T HE?
“Changes in executive pay are throwing a massive wrench into the works of family law across the country,” said Frank Glassner, chief executive officer of Veritas Executive Compensation Consultants LLC in San Francisco. Divorce settlements for executives such as bankers who rely on bonus payouts are becoming harder to negotiate as some firms give employees less cash and more long-term incentive awards including restricted stock and deferred money. That makes the bonuses more difficult to value and divide, said Eleanor Alter, a New York-based divorce attorney.
“These are amorphous assets,” said Robert Stephan Cohen, referring to restricted and deferred compensation. “Under these circumstances, couples may be hunkering down and trying to make their marriages work because the alternative is a nightmare.”
Nightmare in-fucking-deed. Holy Christ is anyone else breaking out in hives over this?
Bonus Pay Changes Put ‘Massive Wrench’ in Wall Street Divorces [Bloomberg via Daily Intel]