Bill George, Goldman Sachs Board Member, Compares Bankers To Pro Athletes, Movie Stars (VIDEO)

Goldman Sachs board member and Harvard professor Bill George defended the firm's massive bonuses and compared employees' compensation to that of professional athletes and movie stars during a recent interview.

In an interview posted Dec. 23, 2009, George told the ideas web site Big Think "I think that one feels like the shareholder value is made up in people and you need the people there to do the job and if you don't pay them for their performance you'll lose them and it's much like professional athletes and movie stars I think."

He went on to admit that he couldn't justify the size of a banker's salary compared to that of a school teacher's, but he said that the same could be said about the salary of a professional athlete.

According to The New York Times, Goldman Sachs has set aside at least $16.7 billion for employee compensation in 2009, or an average of about $700,000. Goldman's bonuses are on track to break the record they set in 2007. The firm has decided their top 30 executives will receive bonuses in long-term stock, rather than cash.

In addition to the $10 billion that Goldman received in Treasury-issued TARP funds, the firm got $13 billion from the government's bailout of AIG and $22 billion worth of government guarantees on its debt.

WATCH: Bill George's interview

Comments

[drdarkside]

02:49 PM on 01/08/2010

I used to respect Bill George. Is that really the analysis of a Harvard Professor? No wonder our country is absolutely broken!

[yourmomscalling]

04:44 AM on 01/08/2010

Yes athletes have to train and strive to be the best at what they do

Bankers strive to find new ways to RIP YOUR MONEY OFF and find ways hide things from you OH and raise your interest rates to astronomically high unfair rates

movie stars make movies (i dont see a banker doing that do you ??? )

[Oxonian2001]

08:06 PM on 01/07/2010

Actually, there is a considerable difference between an athlete, Ho-wood movie star, and a banker.

Movie stars and athletes have to do SOMETHING. They practice, rehearse, and occasionally put in grueling hours. They have to use that noggin every once in a while to "strategerize" (as GWB would put it), learn lines, or convey emotion.

Bankers, on the other hand, are not expected to have any competence talent or honesty at what they do. After all, if they were the "brightest", how did they miss all of the signs--particularly when they were warned about the impending crisis?

And face it, we'd rather look at a sleek athlete or a fit, 2nd rate actress than an overweight, greying, balding banker with a paunch.

NEXT!

[Mondayboy]

04:06 PM on 01/07/2010

what an eedeeot. these are the same ppl who churn out bone-headed harvard mbas who come out and do eedeeotic things on wall street.

[Miner-Jr]

03:21 PM on 01/07/2010

What a Dope. Such hubris!

[kgb999]

12:54 PM on 01/07/2010

Break them up. Regulate them into nonexistence. Reclaim Americas wealth they have stolen. Put them in jail.

The end.

[tompoe]

11:55 AM on 01/07/2010

I would have expected more from an advocate for corporate welfare. George has demonstrated the truth of the peter principle. You're doin' a heck of a job, there, George!

[No2bailouts]

11:37 AM on 01/07/2010

we can pretty much assume there will be no meaningful change from Obama for the remaining 3 years
He'll spend the last 1.5 years posturing & campaigning after trying to pass ineffectual reform.
hat tip to http://iamned-site.blogspot.com

This is from someone who voted for him.

[ghostoftompaine]

10:11 AM on 01/07/2010

TAXATION WITHOUT REPRESENTATION, DARE TO BE FREE, time for some domestic 'regime change' starting with the owners of the FED, we are not there property

[MMLJ]

02:49 AM on 01/07/2010

I think the Obama/Bush supporters are finally gonna wake up.

But its pretty much too late. Only civil w@r can stop the elite now.

[fryguy541]

02:22 AM on 01/07/2010

One of the reasons the pro-athletes and actors get paid big bucks is because there lives are constantly scrutinized and we know who they are and what they do. These "Big Shot" financial masters that must be retained with massive pay deserve just as much spotlight, maybe more since they are directly responsible for our Economic health. I think we would like to know who these people are by face and voice recognition. We can finally thank the friends who make this all possible, personally. Common' Super Stars! Stand up and take a bow! You all deserve your 15 minutes in the spotlight, let us get to know you

[BocaMom]

06:06 PM on 01/06/2010

How disgusting is this? And in the meantime, Congress and the White House are make them richer and making the average American poorer. Washington has done absolutely nothing about fixing the economy and helping the 15 million Americans out of work. Instead they are making their Wall Street and banker buddies richer. The Democrats are no different than the Republicans. They both stink!

[swooshy]

03:21 PM on 01/12/2010

Yeah, like the athletes who take steroids to achieve an unfair advantage over everyone else.

[skippyB]

05:37 PM on 01/06/2010

Pro athletes and Movie Stars deliver, and are generally liked. In other words, they do perform.
You, mister, do not - and have just made your self-deluded ilk even less liked.

And computers can not replace our athletes and movie stars.
Any laptop could replace everything you bankers ever showed an aptitude for that might have contributed to doing a perfunctory job, with the exception of lying and stealing.

[swat68]

03:48 PM on 01/06/2010

Athletes and movie stars are overpaid too! His "explanation" does not cut it.

[TJCole]

02:13 PM on 01/06/2010

I'd say there more like" the Money Changers", Jesus beat and whipped and cursed and turned over the tables of myself...Yup just like the money changers...