Big deal AIG is going to save $21 million

Discussion in 'Stocks' started by Financial Saint, Mar 15, 2010.

  1. Several former American International Group Inc (AIG - News) employees might sue the insurer after it gave them less retention bonus money than they should have received, their lawyers said on Monday.

    AIG is holding back $21 million from retention bonuses for current and former employees of its Financial Products unit. That unit nearly caused the insurer's collapse in September 2008.
    The insurer is asking former employees who are eligible for the payout what they earned after leaving AIG so it can reduce the retention bonus payments by that amount, said Gary Phelan, a partner at law firm Outten & Golden, which represents eight current and former employees.(source yahoo finance)

    The government is trying to take $21 million from the AIG employee bonuses, I am not sure that it is the right or wrong thing to do. My question here is: $21 million is nothing considering the $180 billion loan they had given to AIG. What they need to spend time on is worrying and looking for where the $180 billion went and how can they get it back from the people who are really responsible.