On October 26, 2010 an article by Megan Murphy in the UK's Financial Times has revealed a heart-rending story of a devastating financial crisis that has hit a small segment of the world's population.
A Swiss bank, hit hard by the financial crisis, is trying to get the Swiss financial regulator, Finma, to drop a $1m cash bonus cap for its top bankers. The bank has received “complaints it has strained some executives’ personal finances.”
The bonuses are not limited to $1m, but remainders are to be paid in deferred cash and share awards. The bank wants the additional cash for “their top earners” says the Times.
According to one UBS banker, the limits are creating a hardship making it tough for the top earners to make their mortgage payments and keep their kids in [elite] schools. [Heaven forbid their kids have to go to public schools and rub shoulders with our kids.]
Murphy reports that other investment banks such as Credit Suisse, Barclays and Goldman Sachs, are having the same problems. To get around it some have increased base pay for these executives. The Times says, “A managing director at a global investment bank, for example, can now expect to earn a $500,000 salary before bonus, up from $200,000 to $250,000 before the crisis.”
It's very important that we be especially kind to that incredibly well dressed family that just moved in next to us in one of the many tent cities springing up all over the globe. They may have just had their villa on the Riviera foreclosed.
But just being kind may not be enough. I'm now soliciting funds to help bailout the bank executives. I'm asking everyone to send what they can up to regulatory limits*. Please send checks or money orders (no cash please) payable in Uzbekistanian Som. Make checks payable to “Save Our Bankers” and send to the West Bank of the Delaware. On behalf of S.O.B. and the S. O. B.'s we're helping, I thank you.
*International rules require a limit of 500 in whatever currency is used for private charitable donations to help out bankers. Please do not exceed the limit.