If you're an executive at Delphi or Visteon, congratulations - you're going to get handsomely rewarded for your company's financial failures.

 

The top guys at Delphi will take home up to a combined $38M in additional bonuses as compensation for helping the supplier lose more than $5B over the past two years and pushing the supplier into bankruptcy. Needless to say, the creditors committee disagreed with this pay hike, but the judge in charge of Delphi 's bankruptcy felt this was an appropriate move. With a labor contract showdown looming in less than two weeks, this one goes straight into the "what the hell was anyone thinking?!?" file.

 

Visteon, a company not in Chapter 11 solely by virtue of its corporate sugardaddy Ford, decided to hand out executive bonuses of 50-130% of base pay, and additionally awarded "long-term incentives" of 120-475%. This is for a company that would have lost over a half-billion dollars last year if not for a transfer of plants and workers to its former owner. Visteon's board of directors approved this compensation, and then voted a 75% pay increase for themselves.  

 

There are no reports of anyone vomiting in shame while approving any of these pay raises.

 

 

 


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