Corporate And Financial Institution Compensation Fairness Act Of 2009

Floor Speech

Corporate And Financial Institution Compensation Fairness Act Of 2009

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Mr. AL GREEN of Texas. Mr. Speaker, although they are not my words, we have heard that it takes an act of Congress to get many things done. I would only add to this what I have heard, it also takes a Congress willing to act. This is our opportunity to act. This is our opportunity to do what Dr. King called ``bending the arc of the moral universe toward justice.'' This piece of legislation is just, given the circumstances that we have been coping with.

There is no dispute that many CEOs have had their pay structured such that no matter what the consequences of their actions, they were going to receive enormous bonuses. I think there are two good reasons to support this legislation: one, it deals with the safety and soundness of the banking institutions. It performs perfectly if it does just this, as far as I am concerned.

If it allows a banking regulator who sees that the structure of pay is impacting the safety and soundness of the institution, if it allows this regulator to take some affirmative action to protect the safety and soundness of the institution, this piece of legislation is working. That is what it is designed to do, not to structure the pay, but to prevent the pay from causing ordinary people to have to bail out big banks.

People are expecting us to do something to prevent this from happening again. If we are going to act, this is a means by which we can act. Talking about that which we cannot do and will not do that is not on the agenda will not help us to do what we can do today. I never let what I cannot do prevent me from doing what I can do.

The second reason why I support this legislation: this legislation allows shareholders--by the way, I trust shareholders. I think people who have a vested interest in something ought to have some say. I think they ought to be able to know what the salary structure is and say something about it. And in this case it is nonbinding. There are many people who are of the opinion that nonbinding is not enough. But I trust the shareholders to have an opinion. They have but an opinion. They don't do anything to bind the corporation.

These two reasons, when combined, will help us with the safety and soundness of these institutions and give the shareholders an opportunity to know how the salaries are structured and have some say.

Finally, if we want to be a Congress that acts, we have got to have courage. These are trying times. These are difficult times. It is easy to stay with the status quo. Those who want change have got to be willing to take the risk of doing the right thing.

The arc of the moral universe bends towards justice, but it doesn't do so by itself. It does so because of people who are willing to do the right thing under unusual and extraordinary circumstances.

I am going to stand with the chairman. I believe the chairman is eminently correct. He has structured a great piece of legislation. Those who really want change will vote for this legislation. Those who want to see a better system so we don't end up with more headlines that read ``bailed out banks gave millions in executive bonuses,'' notwithstanding the fact that these banks have not been managed properly and could have been managed a lot better, these kinds of headlines are going to cause problems for a lot of people.

I am going to vote with the chairman. I am voting for the bill. It is a good bill. It is a just bill.

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