The Treasury Department released a statement yesterday emphasizing the department and the Obama administration’s dedication to maintaining a balanced system of executive compensation at banks receiving taxpayer bailout funds, reports The Washington Post.
The statement comes on the heels of reports that Citigroup was increasing many of its employees’ base salaries to offset government restrictions on bonuses.
The Treasury said the administration plans to achieve a balance in the bonus system that would reward top executives’ good performance while discouraging excessive risk taking.