Sunday, March 15, 2009

The stupidity of AIG

AIG is taking a lot of heat right now because of the $165 million in bonuses it's recently given out, as you may know they were recently given $170 billion of our money via the US Gov. Now $165 mil represents a very small percentage of $170 billion, that's for sure, but to the average Joe $165 mil still sounds like a lot, and sparks out rage. And their in lies the problem, AIG claims they would not be able to get "the best and the brightest" to work for them if they didn't give out bonuses. This is a terrible argument, if the best and brightest are only in it for short term gain...and you as an employer encourage short term thinking by offering ridiculous bonuses...and the result is your company crashes into the ground...Then maybe you don't need the best and the brightest, maybe mid-range talented people who aren't so self interested would work out better for you. And besides, the more the anger grows against AIG and other companies like them, the more their brands are going to suffer. You think I'm signing up for AIG insurance anytime soon? Hell no! I'm sure many people feel the same way. So I wonder what would lose AIG more money, not letting millions fly out into their employees bank accounts and there for not "attracting the best and brightest". Or to keep letting the cash fly, and continue to piss of existing and potential customers.

1 comment:

true2me said...

You make some excellent points & because it seems we can't expect companies to act in responsible ways the government will need to set strick guidelines to any monies that are given out.