|
Government blasts Lear’s bonus plan
Government blasts Lear’s bonus plan
Posted Wednesday, Jul 22, 2009, 11:17 am in Employee News
The U.S. government’s bankruptcy watchdog says Lear’s $20.6 million bonus plan sets easily achievable goals and is designed mainly to compensate the company’s top-ranking executives.
The Wall Street Journal says Lear wants to pay incentive bonuses to 29 top managers, including its chief executive. Three-quarters of the bonus pool is tied to meeting deadlines in the auto supplier’s bankruptcy case, and more than 27% is earmarked for Lear’s CEO, the story claims.
The U.S. Trustee says Lear has “chosen to ignore” bankruptcy laws and is offering an incentive plan that “is really a disguised retention plan.”
Bonuses intended to keep top executives with a company are generally prohibited under bankruptcy law, according to the story. A spokesman for Lear declined to comment. A court hearing on the proposed incentive program is scheduled for July 30. (The Wall Street Journal)
__________________
Rick
Nitro Year: 2007 (1 of 113,000 sold)
Nitro Model: R/T 4X4 Stone White
CAT-BACK Exhaust, CAI, Projector Head Lamps
Fully-Equipped w/all factory options
|
Linear Mode
