Tuesday, January 23rd, 2007
Tell me again how grunts are worth $0, Neal?
From Chris over at AMERICAblog:
I understand the fired part, but $14 million to walk away? Great for Pressler for negotiating package like that but why do corporate boards continue to pay failures so handsomely? Recently the Home Depot CEO was given the boot and received over $200 million. Again, great negotiations and everyone agreed to this though I find this disturbing in the context of their failures as CEOs. That a CEO has a lot more responsibility and stress and can make a big difference in the performance of a company, sure, but I am not very convinced that for all of the CEO pay excess, companies and shareholders are really seeing a positive difference. The pool of true difference makers is very small.
I also take issue with corporates who find it necessary to bathe their CEOs in riches while stripping or reducing employees - even well paid, well educated employees- of what used to be standard benefits. With so many failures like Pressler or Nardelli cashing in, what will it take for the public and more importantly corporate boards, to say enough?
Yep. CEOs get rewarded for running their companies into the ground, while the grunts get the shaft yet again. Ain’t completely unregulated capitalism great?
