Pay Czar Feinberg to Ask for Stronger Clawback Provisions


Wall Street "pay czar" Kenneth Feinberg will ask several financial firms to strengthen so-called clawback provisions, but will not force them to recover bonuses paid at the height of the financial crisis, CNBC reported.

Clawback provisions allow companies to reclaim compensation given to employees if, for instance, the employee is found to have caused significant losses for the firm.

Feinberg will criticize compensation practices at 10 or more of the firms that took TARP funds, CNBC reported without naming its sources.

Later this month, Feinberg will quit his role as pay czar to oversee the $20 billion fund to compensate victims of the BP oil spill. It is not clear if a new pay czar will be appointed.