Give and Take

Big banks are working to cap employee bonuses in the face of a $117bn federal tax and public fury over record payout amounts.

Big banks are working to cap employee bonuses in the face of a $117bn federal tax and public fury over record payout amounts. "Wall Street banks plan to highlight caps on cash bonuses and cuts in the proportion of revenues paid out to employees in a rearguard action against the public and political assault on their bumper pay-outs. Executives at the largest US banks, led by Goldman Sachs, are spending the long weekend putting finishing touches to financial reports for 2009, which will reveal whether the annual bonus season lives up to its billing as the most expensive on record. Goldman Sachs, which has become a lightning rod for public fury over the taxpayer bailout, has slashed the money going into its bonus pool in an attempt to keep pay-out levels below their 2007 peak, analysts believe. And investors were quietly betting last week that the proportion of revenues handed to staff could turn out to be lower than published estimates, as banks strive to boost profits in the face of disappointing results from their trading operations in the fourth quarter of 2009."

Related Articles

How schizophrenia is linked to common personality type

Both schizophrenics and people with a common personality type share similar brain patterns.

Mind & Brain
  • A new study shows that people with a common personality type share brain activity with patients diagnosed with schizophrenia.
  • The study gives insight into how the brain activity associated with mental illnesses relates to brain activity in healthy individuals.
  • This finding not only improves our understanding of how the brain works but may one day be applied to treatments.
Keep reading Show less

Human skeletal stem cells isolated in breakthrough discovery

It's a development that could one day lead to much better treatments for osteoporosis, joint damage, and bone fractures.

Image: Nissim Benvenisty
Surprising Science
  • Scientists have isolated skeletal stem cells in adult and fetal bones for the first time.
  • These cells could one day help treat damaged bone and cartilage.
  • The team was able to grow skeletal stem cells from cells found within liposuctioned fat.
Keep reading Show less

How exercise helps your gut bacteria

Gut bacteria play an important role in how you feel and think and how well your body fights off disease. New research shows that exercise can give your gut bacteria a boost.

National Institutes of Health
Surprising Science
  • Two studies from the University of Illinois show that gut bacteria can be changed by exercise alone.
  • Our understanding of how gut bacteria impacts our overall health is an emerging field, and this research sheds light on the many different ways exercise affects your body.
  • Exercising to improve your gut bacteria will prevent diseases and encourage brain health.
Keep reading Show less