U.S. CEO Pay

[barbaro]

Compay loses 12+ billion but the CEO gets $28 million in four months.

Sound a little.....weird......?

Ford CEO paid $28 million for four months

Exec’s compensation comes after automaker lost $12.7 billion in 2006


Updated: 9:10 a.m. PT April 5, 2007
Alan Mulally, who succeeded Bill Ford last year as chief executive of Ford Motor Co., received compensation valued at $39.1 million in his four months on the job in 2006, including an $18.5 million bonus related to his signing and awards he gave up when he left his previous employer Boeing Co., according to a regulatory filing Thursday.
Mulally took over as CEO in September and also is the Dearborn, Mich.-based company’s president.



he nation’s second biggest automaker lost $12.7 billion in 2006, the largest in its 103-year history, largely due to a massive restructuring plan undertaken amid a withering assault from Asian automakers who have taken an increasing share of the U.S. auto market.

Entire & Link: Ford CEO paid $28 million in 2006 - Automotive - MSNBC.com

[blackgang]

But thats private business, their business if they want it like that, up to the stock holders.
But if you want to bitch about obscene shit, look at your elected officials that represent [ha ha] you in Washington DC, what they earn and perks plus retirement and then bitch and do something about that form of robbery.

[keda]

LPG gave their CEO $20m bonus in 2000 when the co made it onto the FTSE 250 - with shareholder approval - and a few months later he could have bought the entire co for less than 5% of that bonus.

Shit happens, and more often when nobody's watching the unregulated.

[YellowTrip]

It is a foking joke what these blowhards pay themselves.

The worst part is they get away with it.

[stroller]

It's a "free" country, where individuals' rights are valued above all else...

[man with no head]

It is obscene and very few actually deserve it.

[shazbut]

It is obscene and very few actually deserve it.

How much would be ok then?An obcenity to one person is Love to another...

[man with no head]

Well, the average Ford worker earns about $50,000 per year (not including overtime).

Now, $28 million/$50,000= 560 workers.

You'll never convince me that one person is worth the same at 560 unless he or she is the rare one that comes along and actually has a vision to turn around an otherwise failing company.

When a CEO is earning millions while simultaneously firing/laying off thousands of workers then something is slightly wrong with the picture.

[YellowTrip]

Well, the average Ford worker earns about $50,000 per year (not including overtime).

Except they are exporting these jobs as fast as possible , the lucky few are sometimes offered buy outs for early retirements.

USA is toilet with the flotsam filled to the brim and hopefully after the major backage dumped by Bush & Company the way may be cleared back to something normal.

[shazbut]

Well, the average Ford worker earns about $50,000 per year (not including overtime).

Now, $28 million/$50,000= 560 workers.

You'll never convince me that one person is worth the same at 560 unless he or she is the rare one that comes along and actually has a vision to turn around an otherwise failing company.

When a CEO is earning millions while simultaneously firing/laying off thousands of workers then something is slightly wrong with the picture.

So what is too much i your opinion.1 mill, 2 mill etc...

[blackgang]

No bodys god damn business except the stock holders of the company and the board of directors.
Now setting on your ass and crying about having to pay taxes, which some of you do not pay, FICA which some of you do not pay, And sucking up the benefits payed for by those that do pay is one thing.

But to start trying to change the way someone wants to run their private business and pay their hired help is just none of your business at all.

But most of the underachievers just can't stand to see anyone get ahead or stand to see someone else doing good in life.

[stroller]

Are you familiar with the concept of a public liability company at all?

[Butterfly]

it's outrageous.

I wonder why would be the reactions of those "conservatives" if it was Communist Kremlin officials giving themselves a rise while the poor outside unemployed from those state owned companies were starving.

Double standards. Works all the time.

[raycarey]

No bodys god damn business except the stock holders of the company and the board of directors.
Now setting on your ass and crying about having to pay taxes, which some of you do not pay, FICA which some of you do not pay, And sucking up the benefits payed for by those that do pay is one thing.

But to start trying to change the way someone wants to run their private business and pay their hired help is just none of your business at all.

But most of the underachievers just can't stand to see anyone get ahead or stand to see someone else doing good in life.

hey BG, have a drink and relax.

[blackgang]

But they are not state owned, they are share holder owned and as such they are controlled by the share holders and the CEO must answer to the Board of directors.
So no one except a share holder is involved in either in the operation of the co.
Private money as its advantages.
Hell the voters in a democratic govt like the USA has no say over what they pay their politicians, so why should they have any say over how much private enterprise pay officers.
Just some underachievers jealous cause someone making a decent living.

[stroller]

I wouldn't call $20 mil bonus "making a decent living", by this standard about 99% of the world population are "underachievers".
By comparison, how much is your pension, blackgang?

[Butterfly]

actually it's called robbery, and I am sure the shareholders are pissed

but like in a state owned company, the "people" like the shareholders can't do shit about it.

Communism and Capitalism are playing the same game

[blackgang]

I have had to answer to the BOD before, and every meeting was a bitch explaining why I gave raises to the crew, why I had things pre cut and shipped instead of just buying steel plate, all kinds of shit, I set the crew wages and they answered to me, but I answered to the BOD and they set my pay. I told them when asked to come to work for them what I would consider, then we settled on a figure, which was 10 times what my highest paid hand was, and bonus which I got but they didn't really want to pay it as my production was a hell of a lot more than they thought possible.
It was nobody's business what I made as it cost the general public nothing, so as with anyones job in the private sector, it is no business of the general public what his wages are.
A CEO pay is set and agreed on before he ever goes to work, it is not an hourly job but is salary and so as I say, is between him and his BOD, no one else as no money comes from you to pay his wages.

[Butterfly]

wrong, it becomes a public affair when they cut the pay of thousands of workers or lay off thousands just to give themselves a raise.

A one man mission in a small private company is not what we are discussing here.

[blackgang]

You are discussing how you as underachievers can regulate the pay that a man hired into the CEO position of a corp by a board of directors.

If it happens as you say then the corp will go broke and they will lay off all the workers.
But the same will happen if the CEO works for nothing and the corp goes broke

[man with no head]

If a company is performing poorly (Ford) why does the CEO get big bonuses and raises while the people who actually make up the company (the workers) get the axe? Was it their fault, ineptitude, and incompetence that led to the massive loss? Why does the ex-CEO of Exxon get $200,000 per year to pay for green fees while profits and oil prices are at record levels?

I guess blackgang is an underachiever as well since he didn't make $28 million in the last 4 months either

[barbaro]

I guess blackgang is an underachiever as well since he didn't make $28 million in the last 4 months either

I think he's on SS.
















Just kidding....

[blackgang]

If a company is performing poorly (Ford) why does the CEO get big bonuses and raises while the people who actually make up the company (the workers) get the axe? Was it their fault, ineptitude, and incompetence that led to the massive loss?

Why shouldn't he, have you seen the rules of the UAW unions that pertain to the firing or discipline of workers??
That type of protectionism has broke many company's and has made it hard for any union to make it in the working world of today.
And it is a private company but SHITSAK figures that he should be able to tell private held business' what to do and how to operate just as he feels that everyone should consult him and he should have the right to restrict your choice as to what vehicle you drive.

[sabang]

Actually Ford, GM, GE etc are defined as public companies, because their shares are traded on a public stock exchange. Enough semantics.

The problem with top level corporate compensation is that we have put the Dogs in charge of the kennel. A Board of Directors reports to the shareholders of a company- that is a clearly established legal principle. But they cosily vote on each others compensation packages, with absolutely no consultation to shareholders. Finally, some large institutional shareholders are getting up in arms about this practise and insisting on a wider consultation process with regards to senior corporate remuneration packages, and rightly so. In many cases, they are just obscene. I would even argue illegal, at Board level, due to a Directors legal duty of care with respect to Shareholders and their interests.

The plain fact of the matter is that there is little or no correlation between Senior executive remuneration, and performance. The Directors of Ford and GM for example stuffed it up badly. In an atmosphere of obviously rising oil prices, what were they marketing and shoving down the throats of their customer base? Gas guzzling SUV's. Meanwhile, Honda and Toyota were continually enhancing their competence in much more fuel efficient cars. The outcome was obvious, and now GM and Ford are being outsold by Toyota and Honda, who are making profits while their US competitors are making losses and downsizing. As a final irony, even the best selling luxury car in the US is the (Toyota) Lexus. I do not believe that justifies an obscene compensation package, or a generous retrenchment payout.

On the other hand, some of the most succesful companies pay their senior folk little or nothing- their remuneration is dependant on appreciating share prices and dividend income. Three examples spring to mind-
Warren Buffet is paid no salary, at all. He is also the second wealthiest man in the world.
Bill Gates is paid a pittance, compared to executive packages in the US. He is the richest man in the world.
Costco is a well managed, profitable, strongly growing US retailer. It's CEO is paid a fraction that of what the CEO's of such struggling retailers as KMart are paying themselves.

I am not coming from a position of bemoaning wealth differentials. I have nothing against people becoming rich. But too many Corporate executives are enriching themselves and their Board mates at the expense of shareholders and other stakeholders, such as employees, with little or nothing to justify it in terms of performance.

[man with no head]

Talk about underachievers: Ford isn't a private company.

The fact that a CEO can run a company into the ground and layoff/fire workers while he continues to collect pay is beyond disgusting.