Delphi To Close; In Bankruptcy, But With $37 Million For Executive Bonuses
Delphi Corp., the automotive parts business that once was an arm of General Motors, will shut down its large plant in Oak Creek, but executives and management personnel throughout the company are in line for $37 million in bonuses.
The Oak Creek plant closing is part of a larger Delphi 'restructuring,' but is related to the floundering of the American automobile market.
Who says that failure doesn't pay?
Should Delphi instead spread the $37 million across the entire company? That would only come out to about $200 per employee (worldwide, Delphi has 174,000 employees).
And do you know the terms of the contracts of those executives? Because under the terms of their contracts, they may actually have succeeded and met expectations - as is pointed out in the article.
They are being rewarded for hitting targets set by an impartial bankruptcy reorganization that is inherently designed to protect both employees and SHAREHOLDERS.
Cute headline, Rowen.
Your headline should have read: "Delphi to close Oak Creek operations, provide executive bonuses under court approved U.S., worldwide reorganization"
I'm glad you liked the headline.
Of course, failure pays.
At a national level, it's called "Return to Success" -- for us to keep paying Haliburton a fortune for years to come.
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