Executive pay is not based on results.

[d-ray657]

Originally Posted by djv8ga

That bugs the Hell out of me.
I'm not a fan of unions, but these clowns always talk about how merit pay would go away with a union and how that's a bad thing.
Why is it the guys on the top get merit pay when the company is losing money?

Because you have mentioned before that you run a business, I'll pick on you to answer this question.

Board members are supposed to owe a fiduciary duty to the company and the company's stockholders. That is a legal duty to act in the best interest of the organization. How likely is it that a board members are fulfilling their fiduciary duty when they increase the expenses spent on executive salaries at a time when the company is losing money? Put another way, if the production and profitability of a department dropped, would you give the manager of that department a 37% pay raise?

Regards,

D-Ray

[Oerets]

Originally Posted by whell

Did an evil CEO show up at your house and steal money out of your pocket?

Yes they did! In the form of a letter I received touting how smart they were in figuring how to get out of paying retirement benefits.

Robbed the company bind then gave a golden parachute to 12 or 13 VP's of multi millions.

Then filed for bankruptcy to get out of paying retirement letting the U.S. Government pick up the tab. Of course no healthcare benefits until you are able to receive Medicare.


But the company is still operating and making money now! Just doesn't have to pay out what they promised to the employees.




Barney

[d-ray657]

Originally Posted by Oerets

"O" if that were true, but the majority of the voting stock in a company is held by very few people. Those few people run in the same circles so I venture to say voting a poor performer out will not happen to often. Just give them a golden parachute and move on.

Were do you think the mega millions in salary's come from anyway? Out of thin air? No out of yours and my pockets.

Now if the people who own stock were to vote only once no matter how many shares they own it might be different.




Barney

I seem to recall something called a derivative action by shareholders. When board members fail in their fiduciary duty to the corporation, shareholders can bring suit to enforce the duty. As I recall, the shareholders can't get damages, but they can get equitable relief to enjoin the conduct that is in breach of the duty. When one with a fiduciary duty - i.e. a board member - has a conflict of interest that would prevent the exercise of impartial judgment, that is close to an automatic breach of fiduciary duty. The folks in the article cited by Finn clearly had such conflicts. If the laws were actually enforced, the back-scratchers on these boards might start watching their own backs.

Regards,

D-Ray

[d-ray657]

Originally Posted by Oerets

But the company is still operating and stealing money now! Just doesn't have to pay out what they promised to the employees.




Barney

Fixed it for you.

regards,

D-Ray

[Oerets]

Originally Posted by d-ray657

Fixed it for you.

regards,

D-Ray

Right on!!



Barney

[BlueStreak]

Originally Posted by whell

I think you're way over-generalizing from way too few specifics. It may work that way at some firms, but by far and away certainly not all.

But again, so what? What does it matter what someone makes?

Funny question for you to ask. If the topic was janitors making $30 an hour, you'd be all sorts of bent out of shape. So, why don't you just shut your hypocritical hole?

Dave

[Oerets]

Another one without a clue, http://current.com/community/9347890...e-yourself.htm


Blame yourself? Where is the greed in all of this Mr Cain? Just don't get it do you...


Once again a Republican mantra ..... I've got mine "f**k" everyone else.


Barney

[whell]

Originally Posted by BlueStreak

Funny question for you to ask. If the topic was janitors making $30 an hour, you'd be all sorts of bent out of shape. So, why don't you just shut your hypocritical hole?

Dave

Find me a post where I've every been critical of what someone makes - based on their talent and abilities. I have been critical of labor negotiations that produce unsupportable results - critical of management in those scenarios. There is a difference.

So - back atcha - please shut your ill-informed, jaded, assumptive and over-sensitive hole.

My question remains unanswered.

[merrylander]

Originally Posted by whell

Why should it matter to you what someone else makes....unless you're envious...

Because my wife's medication cost has risen at over 10% per year to where it is double in price, no doubt all toe pay the salary of the CEO.

[merrylander]

Originally Posted by whell

Find me a post where I've every been critical of what someone makes - based on their talent and abilities. I have been critical of labor negotiations that produce unsupportable results - critical of management in those scenarios. There is a difference.

Right, and obviously since the shareholders have lost 7% of their value and the company lost business he, the CEO, is incompetent, yet the board choose to reward his incompetence.