Elizabeth Warren has a list of demands for companies bailed out by Washington
By Matt Egan, CNN Business
Updated 2:27 PM ET, Wed March 18, 2020
New York (CNN Business)A dozen years after the infamous Wall Street bailout, Uncle Sam is once again preparing to rescue large chunks of Corporate America from the coronavirus.
Everyone from Boeing (BA) and General Electric (GE) to the battered airline industry could receive federal assistance designed to limit the economic fallout from the pandemic. There's even talk of bailing out the oil industry.
But as many bankers learned firsthand in 2008, bailouts from Washington typically come with strings attached. In exchange for their support, politicians demand restrictions that make the rescues more politically palatable.
And Senator Elizabeth Warren already has a list of demands to be included in any bailout packages for major corporations hurting from the coronavirus crisis.
"Let me clear: We're not doing no strings-attached bailouts that enrich shareholders or pay CEO bonuses. Period," the influential Democrat from Massachusetts tweeted on Tuesday.
Here's a sample of what Warren is calling a "progressive litmus test for bailouts to large corporations"
Payrolls must be maintained and companies must use funds to keep people working or on payroll
$15 minimum wage within one year of the end of the national emergency
Permanent ban on share buybacks
No dividends or executive bonuses while receiving relief and for three years afterwards
Must obtain shareholder and board approval for all political spending
Collective bargaining agreements should remain in place
more
https://www.cnn.com/2020/03/18/business/elizabeth-warren-bailout-buyback-ban/index.html
