IrishSheepdog
Sitting in the median
Can I get a pitchfork to gouge my eyes out?
That does not preclude executives from forfeiting compensation bonuses on their own integrity, or reinvesting that money back into the company. Parker gave a year's salary into company stock when Us Airways announced the 1,700 employee reductions last month. I'm not Doug Parker's cheerleading section but that's the noble thing to do when it's necessary to trim labor.
All true, but we may have lost sight of why a company offers bonuses to employees. A bonus is an incentive that's paid when a certain set of conditions is met. (i.e., longevity, productivity, profitability, etc.) BODs normally offer bonuses/stock options to upper-level management in lieu of a higher base salary. As a stock holder, I would rather see the CEO take a modest salary and stock options that are only worth something if he makes my stock go up than just give him a fat salary even if he tubes the company. Stock options & bonuses are supposed to be the lure to recruit and retain talented management. If the CEO can make the stockholders profit, there's no reason he shouldn't share in the fruits of it. Being a CEO is akin to being a rock star or a pro athlete; very few people have the talent for such work, and those who do are highly compensated.
All true, but we may have lost sight of why a company offers bonuses to employees. A bonus is an incentive that's paid when a certain set of conditions is met. (i.e., longevity, productivity, profitability, etc.) BODs normally offer bonuses/stock options to upper-level management in lieu of a higher base salary. As a stock holder, I would rather see the CEO take a modest salary and stock options that are only worth something if he makes my stock go up than just give him a fat salary even if he tubes the company. Stock options & bonuses are supposed to be the lure to recruit and retain talented management. If the CEO can make the stockholders profit, there's no reason he shouldn't share in the fruits of it. Being a CEO is akin to being a rock star or a pro athlete; very few people have the talent for such work, and those who do are highly compensated.
Just to be the devil's advocate, there's nothing to stop pilots from doing likewise and giving part of their compensation package back on their own integrity to reinvest it in the company.
Oh wait, I think that's called a concession.
Not just the current environment - any environment where they are sending people to the streets - yet they (management) continue to fund their kiddies trust fund, or the fund for the 5th house.
But yeah - whatever. Perhaps not a direct reason, but a significant indirect reason we find our economy in such #### right now.
Why would managament force concessions on the pilot group and not be expected to take concessions themselves?
but labor shouldn't expect it of management (and vice versa) unless they are willing to pony up themselves.
Why would managament force concessions on the pilot group and not be expected to take concessions themselves? I'm sorry but one less trip to the buffet line when you're already fat and happy rich isn't going to make a difference. Furloughed pilots create hungry families. Like PCL said earlier, if his bosses passed on their bonus they could avoid putting 177 people out on the street.
but labor shouldn't expect it of management (and vice versa) unless they are willing to pony up themselves.
:yeahthat:There's a difference. The bad financial condition of the companies is the direct fault of poor management. Pilots are still doing their jobs and moving airplanes and people safely from point A to point B, but management has failed in their obligation to run a stable company. My pay shouldn't be cut because of their incompetence. Theirs should.