LTIP for the CEO, COO & CFO

[Catatonic]

I don't know.....

Loss of 401k match and raises also impacted these people.

The concept is that these incentives are there to benefit the individuals by benefitting the company. The LTIP is tied to metrics that also drive comany performance.

P-Man

It seems obvious that one of the metrics is the reduction of full-time employees ... management, non-union hourly and union hourly.

 

[Dis-organized Labor]

It seems obvious that one of the metrics is the reduction of full-time employees ... management, non-union hourly and union hourly.

I hope you're wrong about that.

 

[Dis-organized Labor]

You continually avoid this question....

You believe you deserve to be paid equal to or better than people in other companies doing a similar job.

Why do you think Grade 20's should not receive the same parity?

P-Man

Here is the true test of Airbusfxr's creditability and the depth of his argument.
Will he:
A) actually provide a litterate argument as to why they desreve more than their industry counterparts


or....

B) Continue the same old, worn out mantra that we've read for so long.

They've gone without a contract or pay raise for three years because of "the evil company". You never hear anything about the unrealistic demands and unwillingness to negotiate fairly. This is my personal opinion.
In fact, everything I post on BC is my personal opinion and in no way reflects the beliefs, feelings, hunches, or consists of anything that can be construed or spun to be referred to as "Insider Information".....

 

[Bucket of Boltz]

It seems obvious that one of the metrics is the reduction of full-time employees ... management, non-union hourly and union hourly.

Obvious to who? I have never known a UPS incentive plan to be linked to headcount reduction.

 

[Dis-organized Labor]

Obvious to who? I have never known a UPS incentive plan to be linked to headcount reduction.

I doubt he was being literal on that.

 

[MC4YOU2]

Doesn't Warren Buffett still draw a salary of about 100k annually as CEO of Berkshire Hathaway? I remember reading this somewhere. He may be retired by now, but I wonder if his company was included in the study that PMan is citing?

 

[Bucket of Boltz]

So this was a "Pay no attention to what people say..." situation?

 

[Bubblehead]

LTIP is not a new program. It is in its third year, I think.

Corporate compensation regularly does evaluations on UPS pay, benefits, etc. They are currently in the middle of one for much of UPS.

Think for a moment, how LTIP began. Compensation studied jobs at UPS compared to other companies of similar size and responsibilities.

Grade 20's and above are in the upper 1/4 of 1% of all UPSers. What do you think someone at IBM, Microsoft, or other trucking companies for that matter make at that level?

Every UPSer wants to make equal to or better than counterparts in other companies. Corporate compensation recommended this change to the salary committee.

Remember, this is an incentive plan. The better UPS produces, the better the incentive. These people are in a position to impact the bottom line. If they get compensated for doing so, that seems okay to me.

P-Man

You continually avoid this question....

You believe you deserve to be paid equal to or better than people in other companies doing a similar job.

Why do you think Grade 20's should not receive the same parity?

P-Man

So in other words, that's what everybody else is doing, so it must be alright for UPS.
I think it stinks and is indicative of the problems we are dealing with economically.
Corporate greed cannot be allowed to continue in it's present form.
We are in the midst of modern day feudalistic system where the rich are getting richer and the poor are getting poorer.
I'm all for free enterprise and the like but nobody deserves the kind of money these CEO's are pulling down.
It's a good old boys club, were one sits on the others board of directors, enabling them to perpetuate their own sweetheart deals and golden parachutes.
WAKE UP AMERICA!!!

 

[Bucket of Boltz]

Doesn't Warren Buffett still draw a salary of about 100k annually as CEO of Berkshire Hathaway? I remember reading this somewhere. He may be retired by now, but I wonder if his company was included in the study that PMan is citing?

No, Berkshire Hathaway would not be included in data used by UPS. They do not compare to UPS in many ways. The Proxy, lists the comparator companies used in determining executive salaries.

 

[Dis-organized Labor]

So this was a "Pay no attention to what people say..." situation?

No, but if you have no experience with a certain individual, don't jump to conlusions and assume they are being 100% serious on what they post.

By the way, D.O.L.'s posts are < 10% serious and will never be long dissertations on politics, religion, or other such "serious" subjects

 

[Catatonic]

It seems obvious that one of the metrics is the reduction of full-time employees ... management, non-union hourly and union hourly.

I hope you're wrong about that.

Me too!

Obvious to who? I have never known a UPS incentive plan to be linked to headcount reduction.

Probably not a direct metric in the incentive plan but if an incentive plan has a measure to reduce cost by 20% and headcount is 90% of your cost?

So this was a "Pay no attention to what people say..." situation?

I never pay too much attention to what people say, especially when it is from someone speaking on behalf of the company.

Like I say in my signature "Pay no attention to what people say ... observe their actions..."
What are you seeing happening in the company ?
Draw deductions from what you see happening.

 

[Bucket of Boltz]

I see an organization that is struggling with retaining their strong culture and changing in the face of an uncertain environment.

 

[Catatonic]

I see an organization that is struggling with retaining their strong culture and changing in the face of an uncertain environment.

I agree and in fact, my middle name is Struggalo.

 

[pretzel_man]

So in other words, that's what everybody else is doing, so it must be alright for UPS.
I think it stinks and is indicative of the problems we are dealing with economically.
Corporate greed cannot be allowed to continue in it's present form.
We are in the midst of modern day feudalistic system where the rich are getting richer and the poor are getting poorer.
I'm all for free enterprise and the like but nobody deserves the kind of money these CEO's are pulling down.
It's a good old boys club, were one sits on the others board of directors, enabling them to perpetuate their own sweetheart deals and golden parachutes.
WAKE UP AMERICA!!!

This has nothing to do with "what everyone else is doing".

Why is it greedy for a corporate executive to be paid the same as other executives.... but not greedy for a driver or mechanic to want to have the same or better pay compared to their peers?

Maybe all UPSers (except part time people) should make less than they do... Drivers, Mechanics, Mangers, etc....

P-Man

 

[Dis-organized Labor]

I agree and in fact, my middle name is Struggalo.

That's Cherokee, isn't it?

I think it means: "Eats with spork & knife".

 

[Catatonic]

I agree and in fact, my middle name is Struggalo.

That's Cherokee, isn't it?

I think it means: "Eats with spork & knife".

It is Cherokee but it means, "He who breaks too many arrowheads while laughing."

 

[pretzel_man]

It seems obvious that one of the metrics is the reduction of full-time employees ... management, non-union hourly and union hourly.

Of course, you know that's not true....

As I recall, the metrics are Earnings per Share, Revenue Growth, and Operating ROIC.

With the current economy, I assume the payments will be pretty low?

P-Man

 

[Catatonic]

Of course, you know that's not true....

As I recall, the metrics are Earnings per Share, Revenue Growth, and Operating ROIC.

With the current economy, I assume the payments will be pretty low?

P-Man

Ahhhh, you mean the published ones!

 

[Bubblehead]

This has nothing to do with "what everyone else is doing".

Why is it greedy for a corporate executive to be paid the same as other executives.... but not greedy for a driver or mechanic to want to have the same or better pay compared to their peers?

Maybe all UPSers (except part time people) should make less than they do... Drivers, Mechanics, Mangers, etc....

P-Man

That is apples and oranges and I think you know it.
I've seen data showing that in the 1979 the average CEO of a Fortune 500 company made approximately 40 times the salary of the front line worker within their company.
By 2003 this differential increased to 440 times the salary.
What can these executives be bringing to the table to justify this kind of disproportionate increase in compensation?
As an hourly, I have not realized even 5% in any one year.
Hence the apples and oranges.
Lower level managers have already given up a portion of their piece of the pie so our CEO can get his "fair market share".
Not to mention the beating the part timers continue to endure.
If not for the Teamsters I may not have maintained my share either.
Your persistent defense of this travesty makes me ponder whether you are in the inner circle of the "good old boys club".

 

[Dis-organized Labor]

Of course, you know that's not true....

As I recall, the metrics are Earnings per Share, Revenue Growth, and Operating ROIC.

With the current economy, I assume the payments will be pretty low?

P-Man

P-Man:
For some reason, my level of trust has diminished over the last 24 years.
I don't know why; either too much Yahoo Finance Boards, BC, or casual observation.
I don't believe as much as I used to.