Rick Secures Himself a $4.6 Million Pension

http://www.newsmax.com/archives/ic/2005/11/28/102638.shtml


As General Motors slashes jobs, closes plants and battles to avoid bankruptcy, the company’s CEO has set up a retirement plan that will pay him at least $4.6 million a year – nearly twice his current salary.

G. Richard Wagoner, who the New York Post calls "the greediest, most undeserving CEO since Chainsaw Al Dunlap,” was named GM’s chief financial officer in 1992, when the company had a global payroll of 750,000 employees.

Under Wagoner’s command as CFO and, since 2000, CEO, the carmaker has seen its employees dwindle to 324,000.

Now the company has announced plans to cut 30,000 more jobs and close 12 North American plants, and Wagoner is denying rampant rumors that GM is preparing for file for bankruptcy protection.

The carmaker’s pension fund is under-funded by more than $45 billion, according to the Post. But Wagoner has nothing to worry about. He has a Supplemental Executive Retirement Plan, which allows a company to use after-tax dollars "that rightly belong to shareholders to shower riches on the CEO instead,” the Post reports.
Best of all for Wagoner, this payout comes from funds that are separate from those underpinning the retirement programs of ordinary workers, which means he’ll pocket his $4.6 million-plus a year even if GM files for bankruptcy.

News of the CEO’s big pension payday comes after Delphi Corp., GM’s largest parts supplier, collapsed, jeopardizing the pension fund set up for the company’s 30,000 workers.

But the company’s CEO J.T. Battenberg, like Wagoner, won’t face financial hardship after he departs the firm – he walks away with a $1.6 million-a-year retirement package.


While I don't agree with Buickman's harshness about Wagoner, I'm starting to wonder if we've defended him too much here. I mean the company is bleeding money and cutting back and he gets himself a huge pension? :mad:

I would assume this now also makes negotiations with the UAW that much harder since they're going to be a lot more reluctant to give up stuff after this.

Chris

ROTFLMAO!!! What a clown that guy is.

I like how they talk about the number of people on the payroll dropping from 750k to 324k since '92.

1) It isn't like those people all got fired (GM would be dead). Many worked for Delphi, Electromotive, probably EDS, and other companies that were part of GM but aren't anymore (is EDS still GM?).

2) GM has been needing to downsize its workforce for years.

I'm not defending Wagoner here (though I don't think he is the devil); I just wonder about the intentions of the authors. Evidently this author liked the New York Post's claim that he is the "greediest, most undeserving CEO since Chainsaw Al Dunlap" enough to repeat it in his own article.

That being said, it does sound fishy to set up a pension paying that much (twice his current salary; why couldn't he settle for his current salary?), though it doesn't say how LONG the pension would be paid. 10 years? Rest of life? 20 years?

With all due respect, I'm not sure how much I trust that website as far as authentisity goes.

It looks...... well, somewhat unprofessional.

I'd rather see this from a more recognized news source to legitimize it.

If it is true with his salary at least, it might appear he is thinking he might not be around much longer.

With all due respect, I'm not sure how much I trust that website as far as authentisity goes.

It looks...... well, somewhat unprofessional.

I'd rather see this from a more recognized news source to legitimize it.

I searched real quick just now but I couldn't find anything off the bat.
I actually hope it's not true, it's discouraging if it is that he would get himself a huge pension like that when the company is hurting the worst.

Chris

I searched real quick just now but I couldn't find anything off the bat.
I actually hope it's not true, it's discouraging if it is that he would get himself a huge pension like that when the company is hurting the worst.

Chris


Ya... I'm not saying it's not true, but that site has quite a few agendas, you can tell that just from a quick glance.

Saying you don't trust something because of the way it looks is being a sheep. Which many hybrid owners are.

I look at everything with an open mind. It seems as if this story is true.

Did anybody expect anything less, he's got to get his money and get out.:mad:

according to news.google.com, newsmax is the only group reporting this.

Then accordingly, that does seem awfully fishy. I mean, you gotta believe the UAW would have already had a retort, and one of the larger news organizations would have picked up on it.

I don't think Wagoner has the balls to be that stupid...but you never know...

Then accordingly, that does seem awfully fishy. I mean, you gotta believe the UAW would have already had a retort, and one of the larger news organizations would have picked up on it.

I don't think Wagoner has the balls to be that stupid...but you never know...
i wouldn't put it past any CEO of almost any company

but in this case the lack of news seems to make the story bogus.

according to news.google.com, newsmax is the only group reporting this.
Newsmax is hardly a credible source. And the Post isn't exactly known for its indepth coverage of anything besides celebrity gossip. I have no idea if what they are saying is true, but given those two sources, I'm highly skeptical.

(And 96_Camaro_B4C, EDS was one of the first of the 'non-core' GM units to be spun off, back in 1996.)

Id like to think he wouldnt have the balls to do that just days after the doom and gloom press release.

If true he should step aside... no room for arrogance or complacency or personal greed for that matter... in light of recent GM announcements. :confused:

Though, I'm hoping the report is not true.

Saying you don't trust something because of the way it looks is being a sheep. Which many hybrid owners are.

I look at everything with an open mind. It seems as if this story is true.


:lol:

Please... Because I question a site that is presenting a "news story" in an attackingly editorial fashion, on a basically unknown website that has "bashing" links all over it hardly makes me a "sheep"... quite the contrary I would think.

You say "it seems this story is true"... based on what?

I never said it wasn't true, but I certainly don't take it as law, simply because one questionable website has posted it.

Saying you don't trust something because of the way it looks is being a sheep. Which many hybrid owners are.

I look at everything with an open mind. It seems as if this story is true.

:lol:

Please... Because I question a site that is presenting a "news story" in an attackingly editorial fashion, on a basically unknown website that has "bashing" links all over it hardly makes me a "sheep"... quite the contrary I would think.

You say "it seems this story is true"... based on what?

I never said it wasn't true, but I certainly don't take it as law, simply because one questionable website has posted it.

That's just it, the story is based on nothing. The only source that story cites is the New York Post. For those not familiar with the NY Post, it's a few steps away from a supermarket tabloid. I would also expect the Detroit News or Free Press or both to have this story before, or at the very least, the same day as some unknown "news" website based in Florida. How many insiders do you think the NY Post and "Newsmax" know at the RenCen? Zero. How many do you think the Detroit News and Free Press know? Not zero.

Pretty hypocritical and arrogant to call people "sheep" for questioning the story because the site doesn't look legit and then turn right around and more/less say "story looks like its true to me."

What credible news source Could retrieve info like this though and how? Its a rumor kinda story anyways isnt it?

What credible news source Could retrieve info like this though and how? Its a rumor kinda story anyways isnt it?

The Detroit papers/auto mags have people that tip them off to things. If this pension deal was really going down certain reporters would be getting a call or two from some "unnamed sources."

:lol:

Please... Because I question a site that is presenting a "news story" in an attackingly editorial fashion, on a basically unknown website that has "bashing" links all over it hardly makes me a "sheep"... quite the contrary I would think.

You say "it seems this story is true"... based on what?

I never said it wasn't true, but I certainly don't take it as law, simply because one questionable website has posted it.
see Darth, there you go again! thinking critically is what makes you a sheep. don't you get it??

:lol:

I love this site.

The Detroit papers/auto mags have people that tip them off to things. If this pension deal was really going down certain reporters would be getting a call or two from some "unnamed sources."
Cool. Thats about the answer I was looking for.

If true, it's going to change my opinion of the guy... somewhat.

He's had the good sense to admit he isn't a car expert, and has brought in some amazing talent and left them alone. He has the good sense that alot if not all his predessors failed to have: the sense to know that product shouldn't be cut in hard times. He took over North American operations himself to eliminate the BS and streamline product development in NA, and put the burden squarely on his shoulders if GM-NA didn't recover. Finally, as a CEO with a financial background, he's doing what seems to be every trick in the book to gain funds to promote GM product onslaught. To top it off, the guy inherited Ron Zarella's train wreak.

That's alot of positive to overcome.

Why is that surprising? All of those guys (Upper Exec's) get golden parachutes, guess it just looks worse on the heels of a high profile bankruptcy...Most of their compensation is so well diversified, it looks like they only make a few hundred thousand a year. I see no reason to single out just one.

Saying you don't trust something because of the way it looks is being a sheep. Which many hybrid owners are.

I look at everything with an open mind. It seems as if this story is true.
If you open your mind too much, your brain falls out.

I just did a quick search on Lexis Nexis for the last six months and turned up nothing in any major papers confirming this story.

I also went to the UAW's website - nada. Don't you think this is the sort of tidbit they'd have posted?

Based on this, I'd seriously doubt this is an actual news story. There's a slim possibility of it being otherwise, but I wouldn't count on it.

dav,

Nice work :)

The Detroit papers/auto mags have people that tip them off to things. If this pension deal was really going down certain reporters would be getting a call or two from some "unnamed sources."
Lets take what you've said Chris and run with it.

Has any "main stream" news source ran with an image of a new Camaro? PHR did, but only after we (C&G) has.

As any news source ran with what the next ION will look like? Nope only C&G.

So, going by your theory, this means neither are going to happen or have yet to happen, right?

Think about it.

Furthermore the Detroit News is far from American as you can get. Just take a look at Christine Tierneys stories and the over all motive from the Detroit News or Free Press and see for yourself.

They haven't been tipped off to many stories lately.

Lets take what you've said Chris and run with it.

Has any "main stream" news source ran with an image of a new Camaro? PHR did, but only after we (C&G) has.

As any news source ran with what the next ION will look like? Nope only C&G.

So, going by your theory, this means neither are going to happen or have yet to happen, right?

Think about it.

Furthermore the Detroit News is far from American as you can get. Just take a look at Christine Tierneys stories and the over all motive from the Detroit News or Free Press and see for yourself.

They haven't been tipped off to many stories lately.

Hah, I dont know whether to laugh or cry at what you've posted in this thread.

The image of the camaro you are talking about is an illustrators guess as to what it might look like. I dont honestly know if any other publications have published it, but they would obviously have to contact the artist first. Websites like that Vince guys Hollywood Report (or whatever it is) will grab something off the web and publish it. However legit media outlets like Automotive News, Autoweek or the Detroit newspapers will not do that or they'd be sued for copyright infringment left and right.

The Saturn Ion image you are talking about came from a source that is pretty untouchable to most major legit news outlets. Past that, the image of the Ion was not property of any magazine. None of their illustrators made it nor did any photographer produce the image. The only outlet in recent memory that has published material like that is Popular Mechanics. And the most recent example Im thinking of with Pop mech, the image was pulled soon after it was published on their web site when they got a call from GM. For any major auto news outlet to publish that Ion image would be like them publishing a spy photo I took after breaking into a GM facility. Sure they could publish my image, but at the very least, doing so would not be ethical. At the very worst, not legal. Also don't confuse that hypothetical with the 2 or 3 camera phone images that have leaked out of the GM design dome in recent history. No one broke into the dome to get those images.

As for your conclusion, I dont know how you come to that at all. Your statement seems fairly nonsensical and more of an attempt to brag about things C&G has published. You of all people should know that employees at the RenCen, Tech Center, etc, talk to people. If you dont think they get tips, you have a lot to learn about the goings on in Detroit.

By the way, you put mainstream in quotes in your post and I haven't used that word yet in this thread so I dont know who you were quoting.

As for your comments on the Detroit papers being "american" or not. Other than being completely unrelated to anything discussed in this thread so far, you're basically trying to use the "unamerican" arguement to discredit the Detroit newspaper much like the current U.S. administration uses anytime someone says something they don't like.

CD/BP, who are you? Or Where do you work?

CD/BP, who are you? Or Where do you work?

Oh...well you may have seen some of my spy photos before. Im Chris Doane, I work with Brenda.

Also I'll reiterate here what I posted elsewhere. If this story shows up in legit place tomorrow, I'll be the first to say I was wrong.

Cool.

So did anyone ever verify that this is true or not?

Oh...well you may have seen some of my spy photos before. Im Chris Doane, I work with Brenda.


Cool, great to have you onboard here Chris. We're all anxious awaiting some of your fancy work on some V8 RWD Coupe :D

So did anyone ever verify that this is true or not?


There seems to be a glaring lack of ... well, anything regarding this "news".

It's interesting, on other enthusiast sites I've read this morning... they have huge threads because of this story bashing Wagoner, and now there seems to be a lot of backpeddling and "Hey, don't look at me, look at the author, I just linked it" stuff going on at those sites...

I guess sometimes the sheep can out-think the sheppard? :think: ;)

FWIW: I still am not saying it is untrue... simply that I question the source, and the fact that no other source.... credible or not, for that matter, has backed it up.

Even if the story turns out to be true, in the grand scheme of things it is of little consequence. Trying to use a tidbit like this to predict whether GM will go under is a mistake because it's really just Red Herring. Rick Wagoner doesn't have the power or authority to single-handedly make the decision to file for bankruptcy. There are way too many people involved in this fiasco for this decision to have already been made and been done completely under the radar.

Considering the day and age we live in, can anyone honestly say they're shocked or surprised to hear a story like this?

Even if the story turns out to be true, in the grand scheme of things it is of little consequence.

Wrong.

If it is true, this is a prime example of hypocritical management, "Nero fiddling while Rome burns," "I got mine" mentality. If true, it's a sad, pathetic, and disappointing commentary on corporate culture today. And, if true, it WILL lead to people buying from other car companies.

Wrong.

If it is true, this is a prime example of hypocritical management, "Nero fiddling while Rome burns," "I got mine" mentality. If true, it's a sad, pathetic, and disappointing commentary on corporate culture today. And, if true, it WILL lead to people buying from other car companies.

You took one sentence out of my post and quoted it out of context. The gist of what I was saying is that if Wagoner has actually set up this pension plan for himself, it is of little consequence in determining IF GM IS GOING TO FILE BANKRUPTCY.

In reference to your "hypocritical management; sad, pathetic, disappointing" comments, I'm in total agreement. But I'll reiterate what I've already said by again asking, "Are you surprised?"

Cool, great to have you onboard here Chris. We're all anxious awaiting some of your fancy work on some V8 RWD Coupe :D

Thanks. My bank account and I would be so happy to snag a GM RWD product.:D Well....something other than those Commodores with the mother of all camo jobs that I got a while back.

Thanks. My bank account and I would be so happy to snag a GM RWD product.:D Well....something other than those Commodores with the mother of all camo jobs that I got a while back.
It would be really cool if you could take a few minutes one day and tell us about your job. As an employee of the industry, I find spyshooting very interesting. Maybe throw some interesting stories in there too. I think we would all get a kick out of it...

The Saturn Ion image you are talking about came from a source that is pretty untouchable to most major legit news outlets. Past that, the image of the Ion was not property of any magazine. None of their illustrators made it nor did any photographer produce the image. The only outlet in recent memory that has published material like that is Popular Mechanics. And the most recent example Im thinking of with Pop mech, the image was pulled soon after it was published on their web site when they got a call from GM. For any major auto news outlet to publish that Ion image would be like them publishing a spy photo I took after breaking into a GM facility. Sure they could publish my image, but at the very least, doing so would not be ethical. At the very worst, not legal. Also don't confuse that hypothetical with the 2 or 3 camera phone images that have leaked out of the GM design dome in recent history. No one broke into the dome to get those images.



Chris that was just about the funniest thing I have ever read in my life. Sorry all inside joke.