Vengeance Still Isn't Good Policy

On Sunday, 68% of Swiss voters approved a plan that would give shareholders the final say in awarding an executive’s pay package. Companies would also no longer be allowed to give bonuses to incoming and outgoing executives. These new restrictions are some of the toughest seen anywhere, and carry a penalty of up to six years of salary and 3 years in prison.



The passage of this referendum comes only days after the European Union agreed to cap executive bonuses, which I described as a policy o...