Rick Secures Himself a $4.6 Million Pension
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From: Franklin Park, NJ, USA
Rick Secures Himself a $4.6 Million Pension
http://www.newsmax.com/archives/ic/2...8/102638.shtml
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? 
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
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.
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.
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
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Re: Rick Secures Himself a $4.6 Million Pension
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?
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?
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Re: Rick Secures Himself a $4.6 Million Pension
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.
It looks...... well, somewhat unprofessional.
I'd rather see this from a more recognized news source to legitimize it.
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From: Franklin Park, NJ, USA
Re: Rick Secures Himself a $4.6 Million Pension
Originally Posted by Darth Xed
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.
It looks...... well, somewhat unprofessional.
I'd rather see this from a more recognized news source to legitimize it.
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
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Posts: 8,504
From: Ohio
Re: Rick Secures Himself a $4.6 Million Pension
Originally Posted by blckbrd84
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 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.
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Joined: Jul 2004
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From: Roseville, MI, USA
Re: Rick Secures Himself a $4.6 Million Pension
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.
I look at everything with an open mind. It seems as if this story is true.
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From: Sarasota FL
Re: Rick Secures Himself a $4.6 Million Pension
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 ***** to be that stupid...but you never know...
I don't think Wagoner has the ***** to be that stupid...but you never know...
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Joined: Jul 2001
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From: Milton, FL
Re: Rick Secures Himself a $4.6 Million Pension
Originally Posted by Jason E
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 ***** to be that stupid...but you never know...
I don't think Wagoner has the ***** to be that stupid...but you never know...
but in this case the lack of news seems to make the story bogus.
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From: Ontario
Re: Rick Secures Himself a $4.6 Million Pension
Originally Posted by anasazi
according to news.google.com, newsmax is the only group reporting this.
(And 96_Camaro_B4C, EDS was one of the first of the 'non-core' GM units to be spun off, back in 1996.)
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From: Melbourne, Australia
Re: Rick Secures Himself a $4.6 Million Pension
If true he should step aside... no room for arrogance or complacency or personal greed for that matter... in light of recent GM announcements. 
Though, I'm hoping the report is not true.
Though, I'm hoping the report is not true.