Tilting at Windmills

July/August 2012 How’s this for moral hazard

By Charles Peters

Speaking of overpaid corporate executives, did you know that Vikram Pandit received a total compensation of $42,815,263 as CEO of CitiCorp in 2011, even though his shareholders saw their returns fall by 44 percent? William Weldon, who was CEO of Johnson & Johnson until April of this year, presided over a series of recalls of “Tylenol, Benadryl, Motrin and Zyrtec as a result of such problems as metal shavings found in medicines, incorrect levels of an active ingredient and bad odors,” according to the Wall Street Journal. Weldon stands to collect pension benefits and deferred compensation currently valued at $143.5 million.

Charles Peters is the founding editor of the Washington Monthly and the author of a new book on Lyndon B. Johnson published by Times Books.