Goldman Sachs executives to forego bonuses

November 17, 2008 | By Jim Kim

Lawmakers are livid that TARP funds may be contributing to big bonuses at some banks. And that has put some banks in a very awkward position. Goldman Sachs has responded by deciding that the top executives will not get bonuses for 2008. The list includes Lloyd Blankfein; Jon Winkelreid and Gary Cohn, Goldman's co-presidents; chief financial officer David Viniar; and Michael Evans, Michael Sherwood and John Weinberg, all vice-chairmen, according to the Financial News Online. This is a savvy move, and a costly one. Of all the banks that could make a case for continuing to pay bonuses it was Goldman Sachs. Unlike others, it looks like Goldman will turn a profit for the year, which in itself is a decent case for paying commensurate bonuses. But PR issues are important and the executives realized that. It looks like employees will still be eligible for 2008 bonus payments.

For more:
- here's an article from Financial News Online