Autoblog http://www.autoblog.com Autoblog http://www.blogsmithmedia.com/www.autoblog.com/media/feedlogo.gif Autoblog http://www.autoblog.com en-us Copyright 2009 Weblogs, Inc. The contents of this feed are available for non-commercial use only. Blogsmith http://www.blogsmith.com/<![CDATA[REPORT: BMW warns employees of looming pay cuts]]>http://www.autoblog.com/2009/03/19/report-bmw-warns-employees-of-looming-pay-cuts/http://www.autoblog.com/2009/03/19/report-bmw-warns-employees-of-looming-pay-cuts/http://www.autoblog.com/2009/03/19/report-bmw-warns-employees-of-looming-pay-cuts/#commentsFiled under: , , ,



With 58,000 fewer new vehicles sold in 2008 and a net profit nearly 90 percent lower than it was in 2007, The Independent is reporting that BMW is cutting its board member bonuses by 40 percent. In addition, the balance of its 100,000 employees are facing pay cuts. The sales slowdown will also take a bite out of salaries at all levels, as chief executive officer Dr. Norbert Reithofer, explains:
A profit-sharing program for our board members, executives and all employees is an important element of our compensation system. We apply this system in good times as well as in challenging times. I am convinced that our employees understand the difficulty of the current situation and are willing to accept this hardship.
Although sales and profits have taken a beating (and BMW is clearly not alone), Reithofer is quick to reiterate that BMW is solvent and determined to remain independent... regardless of any rumors.

[Source: The Independent]

REPORT: BMW warns employees of looming pay cuts originally appeared on Autoblog on Thu, 19 Mar 2009 16:28:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>BMWbonusesDr. Norbert ReithoferDr.NorbertReithoferfiringsindependentlayoffSaleThu, 19 Mar 2009 16:28:00 EST<![CDATA[REPORT: French government calls for auto execs to forego bonuses]]>http://www.autoblog.com/2009/01/21/report-french-government-calls-for-auto-execs-to-forego-bonuses/http://www.autoblog.com/2009/01/21/report-french-government-calls-for-auto-execs-to-forego-bonuses/http://www.autoblog.com/2009/01/21/report-french-government-calls-for-auto-execs-to-forego-bonuses/#commentsFiled under: , , , , ,

The French government has put €6 billion ($7.79 billion USD) on the table for car companies. And as part of the effort to make sure that every drop of the money goes toward maximizing performance and retaining jobs, the French government has asked that Peugeot/Citroen and Renault company bosses take a pass on their bonuses.

Renault responded by saying that its execs were told seven months ago that there would be no extra fat for them. Peugeot/Citroen said its remuneration committee would determine the fate of executive bonuses when its 2008 results are known next month. The French government probably won't make executive compensation a key component of the deal, but just as in the U.S., French auto execs are likely looking at their banking industry counterparts and wondering: "Why is all the heat on us?"

[Source: Automotive News, sub req'd]

REPORT: French government calls for auto execs to forego bonuses originally appeared on Autoblog on Wed, 21 Jan 2009 18:29:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>auto industry bailoutAutoIndustryBailoutbailoutbonusesbridge loanBridgeLoancitroeneuroeuropeexecutive bonusExecutiveBonusexecutivesfinancingfrancegovernmentgovernment loansGovernmentLoanspeugeotpsarenaultWed, 21 Jan 2009 18:29:00 EST<![CDATA[As sales slump, Toyota cuts bonuses and vehicle production]]>http://www.autoblog.com/2008/12/02/as-sales-slump-toyota-cuts-bonuses-and-vehicle-production/http://www.autoblog.com/2008/12/02/as-sales-slump-toyota-cuts-bonuses-and-vehicle-production/http://www.autoblog.com/2008/12/02/as-sales-slump-toyota-cuts-bonuses-and-vehicle-production/#commentsFiled under: , , ,

Management bonuses will be slashed 10 percent at Toyota as a result of the global economic slowdown. About 5,000 managers will take cuts as the Japanese automaker reels from falling global sales that are hitting its local market hard. Toyota vehicle sales in Japan dropped 27 percent in November (excluding 660cc minivehicles) and Lexus sales dipped 24 percent -- mirroring the same sales issues that both brands are having in the United States. As a result, the Japanse Juggernaut will halt production for two days on one of the Tahara production lines manufacturing the Lexus LS, GS and IS models, which will prevent about 5,000 luxury cars from being built, and idle another factory in southern Japan for two days, as well. Toyota is also expected to announce lower sales and production estimates at its year-end press conference that happens at the end of this month. That news will follow the 1 trillion yen ($10.7 billion) yanked just last month from its annual operating profit forecast.

[Source: Automotive News, subs. req'd]

As sales slump, Toyota cuts bonuses and vehicle production originally appeared on Autoblog on Tue, 02 Dec 2008 19:01:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>Annual operating profitAnnualOperatingProfitbonusescustscutsfactory closingFactoryClosingLexus salesLexusSalespaycutssalesslowdownToyotaTue, 02 Dec 2008 19:01:00 EST<![CDATA[GM offering buyouts and bonuses to HUMMER dealers]]>http://www.autoblog.com/2008/07/28/gm-offering-buyouts-and-bonuses-to-hummer-dealers/http://www.autoblog.com/2008/07/28/gm-offering-buyouts-and-bonuses-to-hummer-dealers/http://www.autoblog.com/2008/07/28/gm-offering-buyouts-and-bonuses-to-hummer-dealers/#commentsFiled under: , , ,


Click on the above image for our 2009 Hummer H3T high-res gallery

Taking heed of lessons learned when it shed the Oldsmobile brand, General Motors is quietly negotiating with HUMMER dealers to prevent lawsuits if the brand is sold or extinguished. Even though confidentiality agreements have been signed, HUMMER dealers are reporting heavy discussions with GM to buy back stores and compensate owners. GM has even paid second- and third-quarter bonuses (averaging six figures) in advance. June delivered gloom to HUMMER as the brand's sales fell 59.3 percent (to just 2,072 units) as near $5-per-gallon fuel prices began flowing through pumps. If that weren't bad enough, the rugged off-road brand was hit with another mass exodus of sales on GM's announcement that HUMMER might be sold. With sales falling, experienced dealership staff leaving, and fuel prices still up in the air, GM's Jeep-fighting brand has literally fallen off the road.

[Source: Automotive News, subs. req'd, Photo by Scott Olson/Getty]

GM offering buyouts and bonuses to HUMMER dealers originally appeared on Autoblog on Mon, 28 Jul 2008 11:28:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>bonusesbuy outBuyOutdealersHummerOut of businessOutOfBusinessretailersSaleSoldMon, 28 Jul 2008 11:28:00 EST<![CDATA[Ford readying bonuses for entire workforce]]>http://www.autoblog.com/2008/02/20/ford-readying-bonuses-for-entire-workforce/http://www.autoblog.com/2008/02/20/ford-readying-bonuses-for-entire-workforce/http://www.autoblog.com/2008/02/20/ford-readying-bonuses-for-entire-workforce/#commentsFiled under: , ,

Ford is making significant strides to turn its North American operations around. In 2006, it was able to cut almost 34,000 workers from its payroll after one round of buyouts and is looking to cut even more of its workforce this year through another payoff program that's being offered to 54,000 UAW-represented workers.

While it's mortgaged everything in its arsenal to keep afloat through the tough times, FoMoCo is planning to hand out bonuses this year, as it did last March.

According to the Freep, the bonus plan is sitting on the table in front of Ford's Board of Directors, awaiting approval and it will likely cover some 23,700 salaried and 64,000 hourly workers in North America. Most salaried employees walked home with somewhere between $300 and $800 last year, with higher-ups paid "several thousand dollars to $15,000 or more."

While we understand that keeping moral high in these troubling times is important, with Ford posting a net loss of $2.7 billion last year, it seems that the major "bonus" for workers is that they are still employed at the Blue Oval.

[Sources: Detroit Free Press, Reuters]

Ford readying bonuses for entire workforce originally appeared on Autoblog on Wed, 20 Feb 2008 16:25:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>bonusbonusesbuyoutsemployee bonusesEmployeeBonusesfordford bonusford bonusesFordBonusFordBonusesWed, 20 Feb 2008 16:25:00 EST<![CDATA[Ford announces bonus payout for all workers]]>http://www.autoblog.com/2007/03/08/ford-announces-bonus-payout-for-all-workers/http://www.autoblog.com/2007/03/08/ford-announces-bonus-payout-for-all-workers/http://www.autoblog.com/2007/03/08/ford-announces-bonus-payout-for-all-workers/#commentsFiled under: , ,



Ford announced today that it will be cracking open the coffers to pay out a bonus to every single one of its salaried and hourly workers in the U.S. and Canada, a number that now stands between 120,000 and 128,000 people. According to Automotive News, the bonuses will range from $300 to $800 for nonmanagers, while management will get a little more (isn't that always the way?). Ford has stated the bonuses are meant to boost morale and recognize the hard work of the entire Ford family to reduce costs, improve quality and pair down the ranks.

The one question that has to be asked is where or not Ford can really afford this right now. If we were to assume the least expensive scenario of the automaker paying 120,000 workers a $300 bonus, the tally would come to $36 million. That's the least expensive scenario, which is a gross underestimate since there could be up to 128,000 eligible for the bonuses that range up to $800 and even more for managers. Morale is certainly important, don't get us wrong, but perhaps such a large payout during these tough times will actually shake the morale of those workers left who believe their leaders aren't making the right decisions. It's something to think about.

[Source: Automotive News]

Ford announces bonus payout for all workers originally appeared on Autoblog on Thu, 08 Mar 2007 17:35:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>bonusbonusesford motor companyFordMotorCompanyhourlypay outPayOutsalariedworkersThu, 08 Mar 2007 17:35:00 EST