Note from Dan: Lynda K posted this one yesterday. It calls into question the goodness of corporations, and the issue of whether they actually are “job creators,” or “job destroyers,” or something in between. I didn’t want it to get buried on the Occupy Roanoke thread.
There are those of you who speak about corporations providing goods and jobs and how if they disappear, there will be no jobs or goods.
If you look at the “Kings” of layoffs this year, you might see that those corporations that you hold in such high esteem, seem to value CEO pay over worker stability.
- Sears Holding Corporation announced the layoffs of about 700 workers. Sears Holdings Corp.’s interim CEO W. Bruce Johnson, received compensation worth $5.3 million in 2010, more than triple the prior year.
- Gannett Co. announced another 700 employees will lose their jobs. Gannett disclosed that it paid Chairman-CEO Craig Dubow $9.4 million last year — double his 2009 pay. COO Gracia Martore got $8.2 million — more than double her $4.0 million in 2009.
- Goldman Sachs Group Inc. said in July it could cut roughly 1,000 jobs. Goldman Sachs almost doubled the pay package of its chief executive, Lloyd Blankfein, to $18.6m.
- Boston Scientific Inc. announced plans to trim an additional 1,200 to 1,400 employees through the end of 2013. This is at the same time the company is expanding its China workforce. They paid CEO Ray Elliott a total compensation package worth $4.7 million last year — down 86 percent from the $33.4 million package which welcomed him in 2009. (That’s more like it!)
- Lockheed Martin Corporation announced in June that it was shedding about 1,500 workers. Robert J. Stevens, CEO, received 2010 compensation worth $19.1 million, 7 percent less than in 2009
- Delta Air Lines Inc. announced that about 2,000 workers have accepted voluntary buyouts. Delta paid its top executive, Richard Anderson, $8 million in total compensation in 2010, down slightly from the previous year.
- Research in Motion Ltd. “headcount reduction” will amount to about 2,000. Michael Lazaridis, CEO, was compensated with a package worth $5.1 million.
- Cisco Systems Inc. has recently announced it would lay off 6,500 employees, but that number could climb to as high as 10,000. Poor CEO John Chambers, even saw his total pay package drop this year to 32 percent to $12.9 million. What a shame.
- Merck & Co. most recently cut 12,000 to 13,000 jobs. Former Merck (MRK) CEO Dick Clark’s compensation rose 55 percent to $25 million in 2010 … on top of this, he is expected to receive pension payments of $33.3 million and deferred compensation of $15.8 million when he retires this year.
- Borders Group is now bankrupt and more than 10,000 workers have lost their jobs.
- HSBC Holdings plc is aiming to reduce its headcount by around 5,000. The total reported job cuts was actually put at 30,000 over the next 3 years. HSBC wants its investors to pony up $22 million for its CEO, Stuart Gulliver.
Does this seem fair to anyone here?