Surprise, surprise: UAW not down with the plan to renew the exec bonus plan
Not surprisingly, the United Auto Workers have taken issue with a bonus plan proposed for Delphi's executive management, saying that if the bonuses were to pass, it would ruffle some feathers as the two parties proceed with negotiations. The plan, which Delphi successfully petitioned the judge for in the first half of 2006, is in place to keep compensation at a level necessary to retain the best talent at the executive level, the company says. UAW workers don't agree, and as such, have filed objections with the court.
[Source: Reuters via Automotive News]
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Reader Comments (Page 1 of 1)
Luis Longo 1:29PM (7/15/2006)
"a bonus plan proposed for Delphi's executive management"
Do you think they really need it, its executive and upper management at Delphis, i mean for heavens sake, they are already making like 250k a year, you think they need a bonus? Give a bonus to the hard working-plant-workers...
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emor8t 1:46PM (7/15/2006)
Hmm, well if the industry average is alot higher, then why would they stay at Delphi. Were as if the vaste amounts of unskilled laborers are making $15 an hour and not happy with it and quit... some other unskilled laborer will gladley take his place.
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gbh 6:13PM (7/15/2006)
My question is, who's getting the bonus?
Sure, you do want to keep your talent when you're in a talent oriented business. You also don't want managers to leave that are critical, simply because it will cost more money to replace them than to throw them an extra 50K to stay on the sinking ship for a while longer.
That having been said, a good deal of what goes on in a company like Delphi is just pencil pushing. The learning curve for many of those management jobs is not exactly steep - and you could hire somebody for half of what the veteran is making. They make parts - they have a very limited amount of creative talent required to be competitive.
Beyond that, although much of their bankruptcy is due to being spun off from GM, they really could use some fresh blood in there.
This is another one of those times when somebody needs to grow some stones and tell the UAW terrorists to mind their own business. For the last way-too-long, UAW had pay and benes that most skilled employees won't see until they reach a couple of levels below VP on the org chart.
Instead of getting let go with a handshake and couple of months severance, the UAW people are getting paid huge cash to quit their grossly overpaid jobs. Now they think they have some right to bitch about somebody else's much smaller payday?
The incessant whining of UAW prima donnas is really getting old.
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Max 6:20PM (7/15/2006)
Who in their right freaking would hire any exec. that works for Delphi? Come on , these are the same jokers that brought it to bankrupcy. The average joe sure didn't.
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JackOfShadows 7:05PM (7/15/2006)
gbh, you're an idiot.
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gbh 9:51PM (7/15/2006)
JOS, If you have a cogent argument make it. If you have any experience in the corporate world, please share how this is different than any one of dozens of companies that have failed in the last 20-30 years due to the same inherent structural deficiencies.
Otherwise, you're just another dreamer stuck believing in a business model mindset that was *never* viable. These are companies simply being adjusted by capitalism -just the way they should.
Lemme guess, perhaps you also believe that somehow we can keep the prescription drug plan, the rest of Medicare, SocSec, piss away a TRILLION dollars on Iraq, cut taxes, and increase benefits too, right?
We'll just print more money...
The only real shame is that they have been able to borrow this long, so as to maintain this illusion that somehow this could continue to work. Thus, when they finally succumb to their own chronic mismanagement, greed, and poor productivity the American taxpayer will once again end up holding the bag.
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Puff Chippy 12:42AM (7/16/2006)
Better give them that bonus. Sure hate to lose all those great execs that ran the commpany into the ground. Any dumbass could to the job as well as they did.
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GhostDoggy 8:33AM (7/16/2006)
gbh, corporate execs protect their own until they are ready to leave. But in the climate the Delphi currently exists in they are asking to 'repeat' the projected image of trying to get a company they already ran into the ground. While lightning may strike twice, how many times does the same 747 crash and burn into a mountain?
Corporate execs are like modern politicians: they are in it for the money and nothing else.
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gbh 11:36AM (7/16/2006)
Don't get me wrong, everyone is simply looting whatever they can from GM, while they can.
As I mentioned, there's few of those execs that are not easily replaced.
I would argue just a bit that Delphi was kind of doomed from the start with legacy costs it could not possibly bear. But, it was mismanaged to death, just like GM.
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Richard Warren 2:03PM (7/16/2006)
Delphi Talent=Bankruptcy. We've already seen the results. Want the UAW out? Then get rid of the "talent" that caused this. A new broom sweeps clean, then you start over.
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roadside observer 2:28PM (7/16/2006)
It never ceases to amaze me how companies in bankruptcy think that bonuses are needed to retain the same "talent," i.e. people, who put the company in bankruptcy in the first place. Meanwhile, the hourly people and the stockholders take a screwing.
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