Thursday, June 19, 2008

Khazanah Defends Big Pay

Khazanah defended its big payout by the millions (RM0.5 million to RM9.4 million) per annum to each of the top executives of the GLCs (government-linked companies), arguing that "such talent was worth not only in Malaysia but overseas." These payouts were mostly bonuses tied to performance.

These GLCs are monopolies and near-monopolies at home which could simply raise the prices they charge to consumers to achieve their preconceived profits, and they did. For such simple corporate strategies, these top executives could be over-paid.

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