General Motors, more cuts now, says Kerkorian's advisor
According to the Detroit News, Jerry York (pictured), a former CFO at both Chrysler (before its merger with Daimler-Benz to form DaimlerChrysler) and IBM and currently aide to Kirk Kerkorian, is expected to announce at the Society of Automotive Analyst gathering that GM has not gone far enough in its restructuring to offset its losses in the North American market.
GM had already stated last year that it planned to close nine of its factories in North America and cut over 30,000 jobs. But York (and, presumably, for Kerkorian) will most likely push for cuts across all departments and sections at the company, including cuts on executives’ salaries which is also advocated by the United Auto Workers’ President Gettelfinger. This includes cutting the annual stock dividend which, if cut by fifty percent, could save the company 500 million yearly (though it would directly affect York and Kerkorian's shares.)
"If anybody gives, everybody gives," Gettelfinger has said in recent interviews.
Reader Comments (Page 1 of 1)
Edsel 2:46PM (1/10/2006)
I don't know Jerry York, but he looks like a real penny-pinching prick, the kind of prick I'd want on my team when the shit starts hitting the fan.
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2Suave 3:19PM (1/10/2006)
If any senior management needs to be shaken, it's GM's.
That company seems to do everything at a glacial pace and its decline in market share is well deserved.
We'll somebody get in there and save this sick beast?
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B 4:17PM (1/10/2006)
I do know Jerry York. I worked for IBM when he was brought in as CFO. He is one hell of a penny pinching prick. He used to drive a Dodge 4-wheel drive pickup to work. He's very no nonsense, no bullshit and has the sticktoitiveness to make significant change happen. I agree with nearly all of his comments today. And GM's management needs a telephone pole rammed it its.....and York is just the guy to do it.
First rule of order is to get a documented turnaround plan in place as York has called for. How the hell do you know what you are shooting for if you don't have a documented strategy and plan.
Waggoner MUST GO. MUST. He works at home most of the time. What kind of pathetic commitment to the troops does that show. Get off your ass and get on that rock to lead your people across the Dead Sea. He's pathetic. He's had his time and he has failed.
Zero sense of urgency.
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iQuack 5:14PM (1/10/2006)
I hope York is able to do what he'd like to do. Remember that Ross Perot was a similar, no-nonsense guy but GM green-mailed him away instead of making good use of him.
Perhaps GM's condition has become so dire that the company's slothful board will finally do something after all these years.
People were saying that GM was a "waking giant" 20 years ago! The company has remained a soporific mess since then and it's a shame.
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roadside observer 5:51PM (1/10/2006)
One comment: Go get 'em, Jerry!!!
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