Insurance giant AIG to pay $165 million in bonuses

My former employer was profitable last year, but we did not get our bonuses.

Must control seething rage.

Let me put this news in parlance that is more palatable for all:

It is necessary to pay these bonuses for the ongoing function on AIG. This will complete the work of last year by providing the funding necessary for the continuing operation of AIG.

Sound familiar? Just insert "government" for "AIG," and "omnibus bill" for "bonuses" and it should start to.

I don't like it either, Yoss, but on the bright side, the government will end up receiving a lot of these $$ right back as tax revenues.

We are seething as well.
We must keep our allies close.

AIG is claiming that it is obligated contractually to pay these bonuses. Or else it will get sued.

On one hand it sounds reasonable but on the other this must mean that the same people who have been running AIG for the last several years are still there.

Also maybe its just me but aren't bonuses supposed to be tied to some kind of performance either the employees or the companies.

I suggest they negotiate the "contract" such that the level of compensation is on a par with Honda and Toyota assembly-line workers in Alabama and Tennessee.

I sure as hell hope that any "bonus" money paid is treated as "Wages, Salary and Tips" and has FICA/Medicare taken out along with Federal income tax.

Or is this "bonus" thing just a bogus tax dodge? Why not just pay a higher salary?