Wage deflation coming...

[NOTTHOR]

This ain't good. One of the big NY law firms substantially cut its bonuses from last year:

abovethelaw.com/2008/11/associate_bonus_watch_cravath_1.php

I'm sure our firm will use this to justify cuts as well. Oh well, the slowdown allowed me to make all the home football games and I haven't gotten shit on with a ballpunch for a long time, so I can't really complain.

Come on H, get into office in January and layer us with a slew of new regulation so we can get the money printing press back on track. Give us a new Sarbanes-Oxley or something juicy like that.

[NOTTHOR]

Another big firm cheaps out:

abovethelaw.com/2008/11/associate_bonus_watch_simpson_2.php

[cmonhox]

You just know we're going to get another huge piece of legislation with a couple of Senators names attached that will do absolutely nothing to fix or address anything.

Just look at Sarbannes Oxley. Wasn't it supposed to prevent fraud (borne of the whole Enron, Worldcom fiascos)? The only thing it's accomplished is burden corps with additional costs from another layer of auditing. The only people coming out smelling like roses are the idiot auditing firms that aren't doing their jobs.

The fact is, legislation will never catch up to corporate fraud. It's like doping in sports. The criminals will always be a step ahead of any legislation.

The real issues is the auditing firms themselves. Staff auditors are typically low level employees that lack the knowledge & experience to adequately find issues. Auditors are too concerned with making sure things "tie out", materiality, and showing documentation.... then understanding what the business is doing. As long as they can tie something out, they'll call it "good".

I could go into more in depth on why auditing firms are the culprit, but this is prob. boring and long enough. ;D

[thunderhawk]

Perhaps corporate fraud should be brutally punished. Like fuck-me-in-the-ass prison punished.