Demand For Reforms Of Executive Pay By Goldman Sachs CEO

Demand For Reforms Of Executive Pay By Goldman Sachs CEO

http://www.cbsnews.com/stories/2009/04/07/business/main4925394.shtml

For once it was nice to see the demand coming from a CEO. Lloyd Blankfein, CEO Goldman Sachs, has called for new standards on how Wall Street executives are paid. He has also called for new regulations for large hedge funds and equity funds.

Blankfein points out that the current financial crisis has taught us some things. There are lessons to be learned here. One of the main lessons learned here is that there have got to certain basic standards relating to how executives are compensated.

Blankfein is also of the view that unregulated large pools of capital that can burden the financial system in a crisis should be brought under some sort of governmental control.

It is good to see that people are learning from this economic crisis. Taking right steps now will ensure that we do not face this problem again.