Obama To Sharply Cut Bonus Awards

The Obama administration is talking about sharply reducing performance bonus awards. Under discussion is a limit of 5 percent bonuses for Senior Executives, and one percent for everyone else. A six page memo outlining the plan was obtained and published by the Washington Post. Administration officials say the plan is still under discussion. The memo was sent to federal department heads. It was authored by OPM Director John Berry and Deputy OMB Director Jeff Zients. The two expressed worry that federal employees have come to expect awards as entitlements.