Category: #OccupyWallStreet

Nikki Haley is a liar

~ susie ~ Leave a comment

She’s not stupid. She tells lies because Republicans have to if they want to compete with Trump.

About those auto execs and their salaries

~ susie

I have been disappointed by so many “progressives” who are indifferent to the auto workers strike. More people need to read this:

By @kurteichenwald
4h • 15 tweets • 3 min read Twitter logo Read on Twitter
Media who interview CEO Barra of @GM need to understand: When asked about difference between how much of an increase she receives to reach her compensation ($30 mill – higher than all but Tesla) compared to workers, she says “It’s performance based.” What a crock. Here’s why…/1
…For most, it’s hard for average person to understand because the compensation standards in GM’s proxy is loaded with undefined acronyms – TSR, LTIP, NEO, etc. But when you know the meaning, you see that her compensation is rigged. A good percentage of her comp is based on…
…comparisons to the performance of other companies & comps with other company CEO’s comp. Well, for the first one, they use other auto makers, most of which are nowhere close to the size/diversity of GM (Renault, Stelantis, Suzuki) so they really aren’t comparable. BUT when…
…it comes to comparing to other CEOs compensation, GM ditches the companies listed in performance and jumps to a series of companies that have nothing to do with the auto industry: Boeing, General Electric, Raytheon, 3M. The only auto company of many in the list is Ford….
…had they used the same companies in the “comparison to performance” as they did the “comparison to other company CEO’s salary” the annual percent increase of her compensation would be MUCH less. Now, they switch back and forth between talking about “comp for similar size” &..
…and “percentage growth of comp.” What matters here is the % growth (and again, if they had been consistent in comparisons, she would have received much less.) Next, her compensation is also significantly based on earnings before interest and taxes (EBIT) and shareholder…
…returns. Guess which would take the biggest hit if they increased the compensation to workers? That’s right, EBIT earnings and shareholder returns. So, the more they hold down wages of workers, the higher the CEO compensation will be. If they boosted wages the way the UAW…
…is asking, the GM CEO would be paid less, as would all of the senior management. Next, in 2009 when GM needed to be bailed out, the UAW abandoned cost of living adjustments to their pay and a cutback to their compensation. Had they *not* their income today would be…
…would be 36.4% higher. And GM…*even though it is making record profits (by holding down wages)…has *not* restored cost of living adjustments, another way they have held down wages. The UAW is demanding a return to cost of living adjustments and a 40% increase (with the…
…extra 4% based on a very very low percent of the growth of performance of the company). In other words, they are asking to receive what they would have otherwise received had they not given up cost of living adjustments in 2009. GM is coming back and saying “oh, but we’re…
…offering 20% increase in salary, which would leave the workers significantly below what their compensation otherwise would have been had they not sacrificed cost of living adjustments in 2009 – *even though GM is now making record profits.* So when you hear the number 40%…
…places like Fox try to make that sound ridiculous when it is in fact putting things where they would have been had GM not been mismanaged into the ground. And this puts the lie to the other reason GM CEO gives for not hitting 40% – “it’s a cyclical business, so giving them…
…an increase would endanger the company.” The UAW has *already* proven they will give up pay (in addition to cost of living adjustments, in 2009 they surrendered annual bonuses, abandon overtime pay for working more than 8 hours a day, etc etc.) Bottom line: The UAW demands…
…are *far* from unreasonable, and the compensation of its CEO is rigged so that she makes the most money possible and gets the greatest percentage increase each year. Keep all of this in mind, reporters, when you interview her. And ignore the “40% UAW increase is ridiculous”…
…unless you confront them with the fact that their income would be 36% higher if they hadn’t made sacrifices in 2009, and if the executives agreed to the demands, their percent increase in compensation would be cut.
end