Report: Mgrs. at Fannie, Freddie Earned $200K

4 years 2 months 2 weeks ago December 10, 2012 Dec 10, 2012 Monday, December 10 2012 Monday, December 10, 2012 12:32:14 PM CST in News
By: Associated Press

WASHINGTON (AP) - A government report finds median pay for nearly 2,000 senior managers at government-controlled Fannie Mae and Freddie Mac exceeded $200,000 last year.

The Federal Housing Finance Agency, which oversees the two mortgage giants, also did an inadequate job monitoring pay, according to the report released Monday from the inspector general for the FHFA.

The median figure means that half the managers received salaries above $200,000 and half received less.

Those managers represent nearly 17 percent of the roughly 11,900 total employees at the two bailed-out companies. Compensation for senior managers at the companies cost about $455 million in 2011, according to the report.

The report also says the top 333 of those managers are vice presidents who had median pay of $388,000. That's close to salaries paid by private financial firms and exceeds pay for similar jobs at federal agencies.

Because the FHFA doesn't closely evaluate the compensation of senior managers, it is unable "to ensure that the costs associated with senior professional compensation are warranted," the report says.

The FHFA said Monday that it agreed with the inspector general's conclusion that it should improve its oversight of senior managers' pay. The FHFA said it plans to make a full review.

Taxpayers so far have paid roughly $170 billion to rescue Fannie and Freddie, which suffered huge losses from risky mortgages during the 2008 financial crisis.

Under pressure from Congress, the FHFA earlier this year capped pay for Fannie and Freddie's CEOs at $500,000 a year. The agency also cut pay for about 50 other executives, who were earning more than the companies' senior managers looked at in the latest report.

In December 2010, the agency imposed a freeze on merit pay increases and cost of living adjustments for all Fannie and Freddie employees in 2011. It later was extended to cover 2012.

The agency and the two companies have said that the relatively high levels of compensation are needed to attract and keep qualified employees.

"There's a lot at stake for our country and it is absolutely critical that Fannie Mae compensation is competitive in the market for financial services talent," Fannie spokeswoman Kelli Parsons said in a statement Monday.

Compensation for Fannie employees has declined "substantially" from the levels of pay before the government takeover, Parsons said.

Spokesmen for Freddie had no immediate comment.

More News

Grid
List
ST. LOUIS (AP) — A streetcar that will operate in the Loop area of St. Louis and adjoining University City... More >>
1 hour ago February 24, 2017 Feb 24, 2017 Friday, February 24 2017 Friday, February 24, 2017 7:49:51 AM CST in News
COLUMBIA - When someone overdoses on heroin or another opioid, the drug slows down their central nervous system until they... More >>
2 hours ago February 24, 2017 Feb 24, 2017 Friday, February 24 2017 Friday, February 24, 2017 6:02:00 AM CST in Top Stories
COLUMBIA - A Moberly woman was charged Tuesday in Boone County for abusing a 12-year-old Columbia boy. Stacey Robertson,... More >>
10 hours ago February 23, 2017 Feb 23, 2017 Thursday, February 23 2017 Thursday, February 23, 2017 10:23:00 PM CST in News
MONITEAU COUNTY – The Moniteau County Sheriff's Office arrested 10 people during a drug bust Wednesday. The sheriff's office... More >>
12 hours ago February 23, 2017 Feb 23, 2017 Thursday, February 23 2017 Thursday, February 23, 2017 8:19:00 PM CST in News
WENTZVILLE (AP) — Police in the east ern Missouri to wn of Wentzville are investigating after a woman working inside... More >>
13 hours ago February 23, 2017 Feb 23, 2017 Thursday, February 23 2017 Thursday, February 23, 2017 7:23:00 PM CST in News
COLUMBIA – Plato’s Closet opened a newly renovated store Thursday to give mid-Missouri teens and young adults in poverty affordable,... More >>
14 hours ago February 23, 2017 Feb 23, 2017 Thursday, February 23 2017 Thursday, February 23, 2017 6:53:00 PM CST in News
COLUMBIA - Gov. Eric Greitens plans to put $11 million back into school transportation and $41 million back into home... More >>
14 hours ago February 23, 2017 Feb 23, 2017 Thursday, February 23 2017 Thursday, February 23, 2017 6:44:00 PM CST in News
NEW FRANKLIN - President Donald Trump reversed President Barack Obama's directive on transgender students being able to use the bathroom... More >>
14 hours ago February 23, 2017 Feb 23, 2017 Thursday, February 23 2017 Thursday, February 23, 2017 6:36:00 PM CST in News
FULTON - Drive down memory lane to Fulton's Auto World Museum and transport yourself through the decades. Bill Backer,... More >>
16 hours ago February 23, 2017 Feb 23, 2017 Thursday, February 23 2017 Thursday, February 23, 2017 4:07:47 PM CST in News
JEFFERSON CITY (AP) — Missouri House members have passed a bill to reduce the duration of state jobless benefits to... More >>
17 hours ago February 23, 2017 Feb 23, 2017 Thursday, February 23 2017 Thursday, February 23, 2017 3:51:43 PM CST in News
COLUMBIA - The Columbia man accused of plotting a terror attack with people he believed were members of ISIS was... More >>
17 hours ago February 23, 2017 Feb 23, 2017 Thursday, February 23 2017 Thursday, February 23, 2017 3:47:00 PM CST in News
JEFFERSON CITY (AP) — A new ordinance in St. Louis prohibits discrimination based on "reproductive health decisions." It's an effort... More >>
18 hours ago February 23, 2017 Feb 23, 2017 Thursday, February 23 2017 Thursday, February 23, 2017 2:47:00 PM CST in News
JEFFERSON CITY – The investigatory subcommittee created to examine harassment and hostile working conditions in Missouri’s prisons heard from two... More >>
18 hours ago February 23, 2017 Feb 23, 2017 Thursday, February 23 2017 Thursday, February 23, 2017 2:45:00 PM CST in News
COLUMBIA - A Columbia man is fighting the Hershey Company in federal court for allegedly under-filling two of its candy... More >>
18 hours ago February 23, 2017 Feb 23, 2017 Thursday, February 23 2017 Thursday, February 23, 2017 2:03:00 PM CST in Top Stories
JEFFERSON CITY (AP) — Missouri's GOP legislative leaders say it should be up to schools to decide how to handle... More >>
19 hours ago February 23, 2017 Feb 23, 2017 Thursday, February 23 2017 Thursday, February 23, 2017 1:40:00 PM CST in News
JEFFERSON CITY (AP) — Missouri Gov. Eric Greitens is largely reversing his proposed cut to in-home care services for low-income... More >>
19 hours ago February 23, 2017 Feb 23, 2017 Thursday, February 23 2017 Thursday, February 23, 2017 12:57:00 PM CST in News
WENTZVILLE (AP) — Police in the eastern Missouri town of Wentzville are investigating after a woman working inside the General... More >>
21 hours ago February 23, 2017 Feb 23, 2017 Thursday, February 23 2017 Thursday, February 23, 2017 11:11:00 AM CST in News
COLUMBIA - In a partnership with Kickstarter, the True/False Film Festival has introduced a childcare initiative to provide support for... More >>
22 hours ago February 23, 2017 Feb 23, 2017 Thursday, February 23 2017 Thursday, February 23, 2017 10:15:00 AM CST in News
Columbia, MO
Broken Clouds 47°
9am 50°
10am 50°
11am 50°
12pm 50°

Select a station to view its upcoming schedule:

Coming Up Next

7:00a
Today
11:00a
Rachael Ray
12:00p
KOMU 8 News @ Noon
8:00a
The Steve Wilkos Show
9:00a
The Steve Wilkos Show
10:00a
Jerry Springer

Tonight's Schedule

7:00p
Grimm
8:00p
Emerald City
9:00p
Dateline NBC
7:00p
The Vampire Diaries
8:00p
Reign
9:00p
KOMU 8 News @ Nine on The CW
9:30p
Seinfeld