Anyone have a problem with this or just the middle class unions?
November 28th, 2008 8:18 am
Ford resists pressure to cut CEO's pay
Wall Street Journal
Ford Motor Co. is so far resisting pressure to cut the salary of its chief executive despite increasing scrutiny of top management at all three Detroit automakers seeking emergency help from the federal government.
In a statement Wednesday, Ford said that its board of directors' compensation committee regularly reviews pay packages, but the Dearborn, Mich., company did not indicate any changes for Chief Executive Alan Mulally are imminent.
Questions about executive pay surfaced again this week as American International Group Inc.'s chief executive, former Allstate Corp. leader Edward Liddy, agreed to cut his salary to $1 after the insurer received a second installment of a multibillion-dollar bailout.
Ford, General Motors Corp. and Chrysler LLC have asked Congress to make $25 billion in loans available to shore up their finances and keep them going through a deep trough in auto sales. Congress has said the companies will have to accept limits on executive compensation as part of any bailout program.
Mulally was asked last week by members of Congress whether he would cut his $2 million salary to $1. Mulally demurred, saying, "I think I'm OK where I am." His total compensation in 2007 was $21.67 million, according to Securities and Exchange Commission filings. In the same year, Ford posted a loss of $2.72 billion.
Testifying before a House committee, GM Chief Executive Rick Wagoner also brushed back a request to trim his salary to almost nothing, saying, "I don't have a position on that today." His 2007 compensation package totaled $15.7 million. GM reported a loss of $38.7 billion last year.
Chrysler's Robert Nardelli said he would accept a $1-a-year salary, although he isn't paid a salary now under his current employment agreement, people familiar with the matter said. He will be compensated when or if Chrysler's owner, Cerberus Capital Management LP, makes a profit on its acquisition of the automaker. Chrysler, a private company, doesn't disclose details about Nardelli's pay package.
GM did not respond to requests for comment.
November 28th, 2008 8:18 am
Ford resists pressure to cut CEO's pay
Wall Street Journal
Ford Motor Co. is so far resisting pressure to cut the salary of its chief executive despite increasing scrutiny of top management at all three Detroit automakers seeking emergency help from the federal government.
In a statement Wednesday, Ford said that its board of directors' compensation committee regularly reviews pay packages, but the Dearborn, Mich., company did not indicate any changes for Chief Executive Alan Mulally are imminent.
Questions about executive pay surfaced again this week as American International Group Inc.'s chief executive, former Allstate Corp. leader Edward Liddy, agreed to cut his salary to $1 after the insurer received a second installment of a multibillion-dollar bailout.
Ford, General Motors Corp. and Chrysler LLC have asked Congress to make $25 billion in loans available to shore up their finances and keep them going through a deep trough in auto sales. Congress has said the companies will have to accept limits on executive compensation as part of any bailout program.
Mulally was asked last week by members of Congress whether he would cut his $2 million salary to $1. Mulally demurred, saying, "I think I'm OK where I am." His total compensation in 2007 was $21.67 million, according to Securities and Exchange Commission filings. In the same year, Ford posted a loss of $2.72 billion.
Testifying before a House committee, GM Chief Executive Rick Wagoner also brushed back a request to trim his salary to almost nothing, saying, "I don't have a position on that today." His 2007 compensation package totaled $15.7 million. GM reported a loss of $38.7 billion last year.
Chrysler's Robert Nardelli said he would accept a $1-a-year salary, although he isn't paid a salary now under his current employment agreement, people familiar with the matter said. He will be compensated when or if Chrysler's owner, Cerberus Capital Management LP, makes a profit on its acquisition of the automaker. Chrysler, a private company, doesn't disclose details about Nardelli's pay package.
GM did not respond to requests for comment.
