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Booking.com gives €28m in bonuses to three top execs; Took €65m in State aid

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Re: Booking.com gives €28m in bonuses to three top execs; Took €65m in State aid

#291
post #280

Earlier quoted context omitted.

Ah, I moved into one of invitation homes a few years ago. Looked nice when we drove up, didn’t think about why all the windows were open when we signed paperwork. Their negligence nearly killed my family, and left us with life long injuries. The gas line was leaking natural gas, improper installation? the furnace and stove were emoting lethal levels of carbon monoxide. Detector was defective. A portion of the AC fell…

This sounds like an issue with that specific home. I’ve never heard of a home with this nanny life threatening issues not be condemned by fire or county authorities.

There are many descriptions of problems with homes managed by IH.

Reuters covered a few examples in 2018: https://www.reuters.com/article/us-usa-housing-invitation-sp...

Re: Booking.com gives €28m in bonuses to three top execs; Took €65m in State aid

#292
post #93

Earlier quoted context omitted.

I'm sure the employees would much rather have been laid off to stick it to the asset holders.

With weaker demand rents would have actually fallen a lot more than now. That in turn would have an impact on asset prices in the long term. Will it be fairer to employees ? I don't know, there will be lot more pain for employees without government intervention. However with Quantitative Easing or bailouts and COVID loans means the rich are not paying the same price as well, that is why rich are becoming richer, poor…

> With weaker demand rents would have actually fallen a lot more than now

In this sentence, is "weaker demand" euphemism for mass homelessness?

Re: Booking.com gives €28m in bonuses to three top execs; Took €65m in State aid

#293
My view is that a system of government, where material advantages are based on quality of legal representation -- is doomed to become non-representative.

The case in article is just an example of it.

That means, in short, wealthy (corporations or individuals) can afford good legal representation --therefore they will necessarily bias the case law. And case law, will necessary, bias the subsequent judicial decisions.

So a judicial system biased towards judging in favor of more expensive legal representation, is really the main reason why corporations become larger, why they create their own system of rules, that 'floats' on top of the system of rules for the mere mortal.

---

We often have a dialog and an argument about size of government, vs size of corporations, vs individual freedoms and so on.

But really what we first must recognize is that manipulation, disinformation and biases in the judicial systems must be eliminated.

Basically we have to remove information manipulation and judicial selectivity out of the society.

Then argue about other stuff.

A step in the right direction -- would be to assign legal representation to all sides involved in a dispute (or in a criminal case) -- from some sort of a pool (based on say some standardize algorithm).

This way in a dispute between Alphabet and a Joe Shmo would have equal legal representation.

Overtime, this will slowly change case law, and outcomes of legal disputes -- towards fairness.

Some might ask: would you do the same with Financial advisors, Doctors, University professors ?

I would say no, because they do not impact the fairness of judicial system.

Having said that, I do think that Job applications must hide (not include) what University an applicant had attended... but that's discussion for another post...

Re: Booking.com gives €28m in bonuses to three top execs; Took €65m in State aid

#294
post #83

Earlier quoted context omitted.

How does inflation help the rich? Doesn't that devalue their net worth?

If everyone's bank account balance goes up by 50% uniformly, lets say one person has 100,000 and another has 10,000. After the increase they now have 150,000 and 15,000 respectively. But the low end item costs also go up due to inflation, so food now costs 50% more lets say. The thinking is that this eats into the lower bracket much more than the higher one. So inflation would increase the divide between rich and poo…

You're essentially describing the Cantillon Effect :-)

Re: Booking.com gives €28m in bonuses to three top execs; Took €65m in State aid

#295

Earlier quoted context omitted.

What did they do with the regular income they had during that period that would have gone to rent, salaries, etc.?

You’re asking what booking.com (a travel booking agency that lives on fees earned when people are traveling and using them to buy it) did with all that money they were earning from their normal business operations given the collapse of travel volumes from March of 2020 to now?

No, the post I was replying to was talking about his wife’s company.

Re: Booking.com gives €28m in bonuses to three top execs; Took €65m in State aid

#296
post #186

Earlier quoted context omitted.

All homes are always on the market for sale, regardless of whether they are listed on the MLS or not. If you see one you like there's nothing stopping you from making an unsolicited offer to Blackstone's Invitation Homes.

Invitation Homes raises rents as much as possible. It seems unlikely a typical landlord would need to raise rent at the same rate because they maintain their own operations and have no duty to shareholders. An offer to buy from IH would need to beat IH’s own model for returns in such a substantial way that it would be overpriced and affect comparable home pricing in the area. Thus, it is not similar to making an unso…

Most landlords raise rent as much as possible. Invitation Homes can't charge more than the market rate; their costs are irrelevant.

Re: Booking.com gives €28m in bonuses to three top execs; Took €65m in State aid

#297
post #3

Directly via bailouts and indirectly via inflation, COVID was the biggest wealth transfer to the rich in history.

This was version 2. Version 1 was the "great recession", when several investment banks found themselves insolvent after cluelessly underwriting an overvaluation of American homes. It had been their custom to play a sort of musical chairs with overvalued assets, unloading them on clients and other victims, but eventually they forgot how that game typically ends. After a small amount of public discussion, it was decide…

> “Representative government" seems fine until one looks more closely at who is actually represented.

Why ruin an otherwise reasonable argument with an out-of-nowhere jab at representative democracy? If anything, without legitimate elected officials in charge, the problem would have been more acute.

Re: Booking.com gives €28m in bonuses to three top execs; Took €65m in State aid

#298

Earlier quoted context omitted.

Buybacks are not mentioned in this article, and you quote a number from 2019, which is, to the best of my knowledge, pre-pandemic. If you are saying that they foresaw the pandemic and government grants, well... Now, I wouldn't be surprised that they were doing that even in 2020, considering they were also taking out $3B in loans (in addition to $100M of subsidies) to maintain the share value or reinvesting in themsel…

Your economic worth is well defined by supply and demand. It is incoherent to say you are not "worth" the salary you are paid; if that were in fact the case, your salary would be lower, or you would eventually not have your job. Is this fair? I would argue yes. Economic worth is a transparent situation, and it is rather clear that by positioning a career towards high demand work, anyone can improve their station in l…

It's not as simple: someone doing a mundane job in a rural town in USA south is likely still making more than a University professor here. So one has to optimize for the locality and/or have an opportunity to change it.

I think it is unfair, since you have to control for many things not directly in your hands.

Perhaps it feels worse because I've been hacking at computers since before it was clear it's the job of the future/present, so I did no optimization, but rather just doing what I love.

Re: Booking.com gives €28m in bonuses to three top execs; Took €65m in State aid

#299
post #133

The title is almost underwhelming in severity (which is a refreshing break from sensationalistic headlines), “[€28m in bonuses] even after taking three billion euros in loans last year, and 100 million euros in State aid including 65 million from the Netherlands. The company also let go of thousands of people during the coronavirus pandemic.” Booking.com isn't alone engaging in these practices. Many corporations seem…

IMHO the aid should have been loans only and executive bonuses should have gone to the government as collateral. If the company pays back the loan, the executives get their bonus.

I have no horse in this race but intrigued by one sided comments here.

Wouldn't people just be laid off of if govt did not give 65 mil to booking as benifits.(I assume this benifit is similar to short term work which is present in Germany). At the same time 25m is stock grants. So I feel both cannot be compared.

If the government says you get no aid, Wouldn't company just lay them off? From what little I understand, In EU, govt pays a part of salary for employees to prevent them from getting laid off

Re: Booking.com gives €28m in bonuses to three top execs; Took €65m in State aid

#300
post #133

The title is almost underwhelming in severity (which is a refreshing break from sensationalistic headlines), “[€28m in bonuses] even after taking three billion euros in loans last year, and 100 million euros in State aid including 65 million from the Netherlands. The company also let go of thousands of people during the coronavirus pandemic.” Booking.com isn't alone engaging in these practices. Many corporations seem…

I think people make the mistake of thinking that the people who get bonuses are easily replaceable. The executive market of people who have experience at these kinds of levels is extremely thin. Your company needs to be attractive to this high echelon of talent. That means keeping a good record of treatment to executives. I think the thought of: “just pay them less or they can leave” is pretty common. But it’s just n…

This isn't just up to the company, the execs can also choose to decline bonuses in order to save their employees jobs.

That they don't do that is very telling about the kind of people they are.

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