ford execs take 30% paycut

RACER X · 02-26-2009, 02:45 PM

Ford has been one of the most active of the Detroit 3 carmakers when it comes to cutting executive pay and white collar jobs, and today the Blue Oval announced its latest measure for weathering the economic storm and turning around its slumping performance. Hourly workers at Ford will get yet another round of buyout and early retirement offers, while the company’s top two executives will take a 30% pay cut.

Ford CEO Alan Mulally and executive chairman Bill Ford Jr. will see the salary reductions this year and next, according to a memo obtained by The Associated Press. Interestingly, Ford Jr. had previously forgone his entire salary and was prepared to stick to the plan until the company was posting profits again.

The executive pay cuts are part of the company’s effort to stay afloat without government aid and remain competitive with General Motors and Chrysler. It's not clear how many other executives will also experience reduced pay but according to the memo the entire board of directors will not receive cash compensation this year.

As for the latest round of buyout and early retirement plan, up to 42,000 U.S. hourly workers are expected to be offered the option. Other cost cutting measures include suspension of cost-of-living pay raises, as well as the elimination of lump-sum performance bonuses and some end-of-the-year bonuses.

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the chi · 02-26-2009, 03:00 PM

Now thats respectable. GO FORD!

smileyman · 02-26-2009, 03:06 PM

I applaud their efforts with "the golf clap"

If I was that well off 30% of my annual salary would be a trifle. They probably make more in one year than the US median Household makes in 20 years.

I say we eat the rich...

Rider · 02-26-2009, 03:13 PM

Makes me ALMOST want to buy a Ford.

njchopper87 · 02-26-2009, 03:27 PM

Makes me a little proud to own my Taurus now... wait.. nvm.. we still had to replace the transmission twice.. previous owners once..

02-26-2009, 02:45 PM	#1
RACER X AMA Supersport Join Date: Nov 2008 Location: Richmond, Tx Moto: '10 Tuono Factory Posts: 4,569	ford execs take 30% paycut Ford has been one of the most active of the Detroit 3 carmakers when it comes to cutting executive pay and white collar jobs, and today the Blue Oval announced its latest measure for weathering the economic storm and turning around its slumping performance. Hourly workers at Ford will get yet another round of buyout and early retirement offers, while the company’s top two executives will take a 30% pay cut. Ford CEO Alan Mulally and executive chairman Bill Ford Jr. will see the salary reductions this year and next, according to a memo obtained by The Associated Press. Interestingly, Ford Jr. had previously forgone his entire salary and was prepared to stick to the plan until the company was posting profits again. The executive pay cuts are part of the company’s effort to stay afloat without government aid and remain competitive with General Motors and Chrysler. It's not clear how many other executives will also experience reduced pay but according to the memo the entire board of directors will not receive cash compensation this year. As for the latest round of buyout and early retirement plan, up to 42,000 U.S. hourly workers are expected to be offered the option. Other cost cutting measures include suspension of cost-of-living pay raises, as well as the elimination of lump-sum performance bonuses and some end-of-the-year bonuses. All Content Copyright 2006-2008 Motor Authority http://www.motorauthority.com/ford-e...0-pay-cut.html __________________ ΜΟΛΩΝ ΛΑΒΕ 2014 GROM! 181cc of FURY 2010 Aprilia Tuono Factory - SOLD 2009 SFV Gladius - SOLD 2008 Hayabusa - SOLD.

02-26-2009, 03:06 PM	#3
smileyman White Trash Hero Join Date: Mar 2008 Location: NW Arkansas Moto: Buell 1125R Porco Rosso Edition Posts: 4,895	I applaud their efforts with "the golf clap" If I was that well off 30% of my annual salary would be a trifle. They probably make more in one year than the US median Household makes in 20 years. I say we eat the rich... __________________ Arkriders.com To be the best you must first be willing to risk the worst!

02-26-2009, 03:13 PM	#4
Rider Moto GP Star Join Date: Feb 2008 Posts: 12,156	Makes me ALMOST want to buy a Ford.

02-26-2009, 03:27 PM	#5
njchopper87 Bored Join Date: Dec 2008 Location: Sumter, SC Moto: '01 Spirit 750 Posts: 1,535	Makes me a little proud to own my Taurus now... wait.. nvm.. we still had to replace the transmission twice.. previous owners once..