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Taxpayers won't foot the bill for raises for the chief executives at any of the four firms—GM, Chrysler, AIG, Ally Financial—still receiving assistance under the federal bank bailout.
A compensation review of 28 financial companies found that many of the bonus programs that economists said contributed to the financial crisis were still in place.
Five senior executives at American International Group told the insurer last week they may quit if their compensation was cut significantly by the U.S. pay czar, the Wall Street Journal reported on Sunday.
After just three months as head of American International Group, Robert Benmosche has threatened to leave his post as he struggles to deal with heavy government oversight.
How far to go in limiting bankers' bonuses looms as one of the toughest issues at this week's summit of world leaders in Pittsburgh, with clear differences between the U.S. and Europe.