[NfamousZ24]

Striking workers are incensed that American Axle & Manufacturing Holdings Inc. Chief Executive Officer Richard Dauch received an $850,000 raise in 2007 -- a 9.2 percent increase -- even as they are being asked to accept wage and benefit reductions of as much as 50 percent.
Dauch earned $10.2 million last year according to a filing made Monday with the Securities and Exchange Commission. The company's next three highest-ranking executives received raises ranging from 6.7 percent to 27 percent.

http://http://detnews.com/apps/pbcs.dll/article?AID=/20080325/AUTO01/803250317/1148

 

[NfamousZ24]

Wow and I thought Rick Wagoner's pay is a tad high!!!

 

[FenwickHockey65]

My dad's told stories of how the boys at Norwood were riled up about Roger Smith's massive retirement bonus...
CEOs getting more money does not go over well with the workers.

 

[NfamousZ24]

Also from what I heard. The Strike is still going on because American Axle doesn't have the money to offer buyouts, and or buydowns. Well if you cut Mr. Richard Dauch pay to $1.8 Million. They will be able to pay 60 workers buyout packages a year.

 

[K-1]

Also from what I heard. The Strike is still going on because American Axle doesn't have the money to offer buyouts, and or buydowns. Well if you cut Mr. Richard Dauch pay to $1.8 Million. They will be able to pay 60 workers buyout packages a year.

Better yet, if they don't like his compensation, they can always find a job elsewhere without scheming to extort a buyout from the company.

 

[NfamousZ24]

Better yet, if they don't like his compensation, they can always find a job elsewhere without scheming to extort a buyout from the company.

Oh yeah the big bad Union.

I still don't see why Richard Duach should get 10.6 Million and expect the line workers to take a 50% pay cut.

FYI GM CEO Rick Wagoner pay is $1.9 Million Toyota CEO Katsuaki Watanabe I think is around $1.2 Million

Who is Overpaid?

 

[CJ Thunder]

If a CEO is expected to turn around a company you have to keep him there. To keep hime there you have to give him an incentive to do so. It sucks that the lower wage earners have to take a pay cut but its never to late to go back to school.

 

[K-1]

Oh yeah the big bad Union.

I still don't see why Richard Duach should get 10.6 Million and expect the line workers to take a 50% pay cut.

Because the board and shareholders think he's worth it. I think you'd be hard-pressed to find people who think the line workers are worth what they make.

FYI GM CEO Rick Wagoner pay is $1.9 Million Toyota CEO Katsuaki Watanabe I think is around $1.2 Million

Who is Overpaid?

Again, they're each worth what their boards and shareholders think they are.

The workers have a few options:
1) buy enough AAM stock to get a representative on the board and vote against executive bonuses
2) buy enough AAM stock to have a significant shareholder vote against executive appointments
3) quit and go work for Toyota, who pays their executives more reasonable salaries
4) take what management gives them and be thankful to have a job at all

 

[Joevette]

I have to say that no one needs to make 10+ million dollars a year, especially when your company is lucky to not be bankrupt and your are demanding less money for your workers.

very unethical to get a raise of almost a million dollars when your asking your workers to cut their pay in half. No wonder they are on strike. I dont care who you are when your industry is in turmoil you dont keeps bringing in 10 mill a year. This guy is a greedy *******

 

[K-1]

I have to say that no one needs to make 10+ million dollars a year, especially when your company is lucky to not be bankrupt and your are demanding less money for your workers.

very unethical to get a raise of almost a million dollars when your asking your workers to cut their pay in half. No wonder they are on strike. I dont care who you are when your industry is in turmoil you dont keeps bringing in 10 mill a year. This guy is a greedy *******

$10mil is a drop in the bucket in the grand scheme of things. Those 2,000 some striking employees cost nearly 40 times that. Cut that unnecessary expense in half and you free up $200mil in revenue. As the head of the business, which would you rather have?

 

[FenwickHockey65]

$10mil is a drop in the bucket in the grand scheme of things. Those 2,000 some striking employees cost nearly 40 times that. Cut that unnecessary expense in half and you free up $200mil in revenue. As the head of the business, which would you rather have?

Well, think about it. No workers are working, no production, no sales, no profits. In a few more months, no American Axle. All leads to a former CEO out of a job.

 

[Joevette]

Its just the perception of making that much, especially when its competition are all bankrupt and it looks like a possibility for them as well, Maybe if things were better than they have ever been, making this much wouldn't be a problem. But it just looks like hes a greedy MF'r who is very selfish. Not going to help get works back in the place.

 

[K-1]

Its just the perception of making that much, especially when its competition are all bankrupt and it looks like a possibility for them as well, Maybe if things were better than they have ever been, making this much wouldn't be a problem. But it just looks like hes a greedy MF'r who is very selfish. Not going to help get works back in the place.

Take that sentiment and apply it to other manufacturing workers - hell, any other workers. The UAW comes off as "a greedy MF'r who is very selfish."

If you expect the top dogs to take pay cuts when the income statement takes a dip, everyone should. Unfortunately, when times were good, the UAW made a money-grab for benefits that they now refuse to give up. Had they not squandered their future, their company could have been in better shape today.

 

[K-1]

Well, think about it. No workers are working, no production, no sales, no profits. In a few more months, no American Axle. All leads to a former CEO out of a job.

And this dignifies the strike?

I'd say, sit down, shut up, and enjoy being gainfully employed at market wages. If you don't like it, leave.

 

[FenwickHockey65]

And this dignifies the strike?

I'd say, sit down, shut up, and enjoy being gainfully employed at market wages. If you don't like it, leave.

All I'm saying is that this is a bad time to give the guy a pay raise. Once the strike is over, then by all means, if they want to give him more money they should. But doing so at this time reflects badly on the company.

 

[Joevette]

I not a union supporter at all, dont get me wrong I know both sides must concede in these types of situations. But when your trying to make your workers take a lower wage amount it is not a smart decision to give yourself a huge raise like that. Now it will just be harder to make the union accept a lower wage. He could've waved his raise this year or until the strike was over.

 

[K-1]

I not a union supporter at all, dont get me wrong I know both sides must concede in these types of situations. But when your trying to make your workers take a lower wage amount it is not a smart decision to give yourself a huge raise like that. Now it will just be harder to make the union accept a lower wage. He could've waved his raise this year or until the strike was over.

Let's get something straight - he didn't give himself a raise, the board did. The guy has been a pretty good CEO dealing with the cost disadvantages. Poor leadership wasn't the cause of the downfall, so if he's going to take the fall for the company, you've got to compensate the guy.

 

[Joevette]

Ok well then the board is retarded

 

[K-1]

Ok well then the board is retarded

Seeing as how there hasn't been a massive stock sell-off, the shareholders (the only people the board and company has to answer to) seem to disagree with you.

 

[NfamousZ24]

$10mil is a drop in the bucket in the grand scheme of things. Those 2,000 some striking employees cost nearly 40 times that. Cut that unnecessary expense in half and you free up $200mil in revenue. As the head of the business, which would you rather have?

This is an easy answer...... BOTH. If he wants the line workers that actually make the product to take a 50% pay cut then he should look at taking the same pay cut. Oh darn that CEO will only be making $5.3 Million. Atleast those line workers are making a tons of money at $29,000 a year. Man those people will be still overpaid in peoples mind.