Scott makes more than Mike

Discussion in 'UPS Discussions' started by brownsugar, Mar 13, 2009.

  1. brownsugar

    brownsugar Member

    ATLANTA (AP) -- The chairman and chief executive officer of UPS Inc., Scott Davis, received total compensation valued at $5.2 million in 2008 -- his first year at the helm of the world's largest shipping carrier, according to a regulatory filing Friday. That was about 16 percent more than his predecessor received in 2007.
  2. UpstateNYUPSer

    UpstateNYUPSer Very proud grandfather.
  3. Paid-over-in-Maine

    Paid-over-in-Maine 15 more years of this!

    So eloquently put.
    Thanks for the laugh Upstate!
  4. spuman

    spuman New Member

    I don't care how much he makes as long as he gives a fair days work for a fair days pay.
  5. ups767mech

    ups767mech New Member

    He deserves every penny !!!!
  6. ol'browneye

    ol'browneye Active Member

    UPS didn't get any bailout money so I guess they can pay him what they want!
  7. trplnkl

    trplnkl 555

    You might have a different opinion if you were a package car driver. but then, maybe not.
  8. pretzel_man

    pretzel_man Well-Known Member

    I will bet you that it goes down next year.

    Compensation for management (especially upper management) includes multiple categories of incentives.

    The higher up the ladder a management person is, the more % of their pay is variable based on incentives.

    For instance, I think a District Manager has about 3/4 of their pay based on incentives. For Region Managers, Management Committee, and CEO, I'm sure the % is much higher.

    That's good when incentives are high. When they are low, pay will reduce.

    2009 incentives will be much lower than previous ones. I heard that LTIP this year was very low. It should be.

  9. sealbasher

    sealbasher Member

    package car drivers are the ones who make the money for this company,all managment do is read reports and hand out letters,as far as im concerned this company is over managed.
  10. brownmonster

    brownmonster Man of Great Wisdom

    We need managers. I just don't know if the driver on the street can support 15 levels of middle mgmnt passing down the same report. Load the truck and leave me alone.
  11. Monkey Butt

    Monkey Butt Dark Prince of Double Standards Staff Member

    I believe you have been ill-informed as to the profitability of the "package driver" portion of the entire pickup and delivery cycle. Definitely not the most profitable segment. Driver wages are one of the largest risks to the long-term viability of UPS as a profitable company.
    As 705red likes to point out, the PC driver wages are on the back of the inside part-timer wages and benefits.
    I totally agree that PC driver is a very hard job - both physically and mentally - it's a tough job.
    But keep in mind that there is no correlation between the "toughness" of a job and the profitability.
  12. InTheRed

    InTheRed New Member


    Yes, all we need is drivers... drivers drivers drivers.

    Who is going to move the packages from A to B? The drivers?

    You think your route is hard enough? Try delivering everything you picked up!

    You need the hub, the airport operations, etc. You need the mechanics and the maintenance men. We even need the porters/housekeeping department!

    As far as staff support operations...

    Without HR, we wouldn't be able to staff our operations, and we would be at HUGE liabilities for discrimination and unfair workplace practices.

    Without FINANCE, we wouldn't be paying our bills, our expenses, our advertising.

    Without SECURITY, our employees who steal would keep stealing from the hand that feeds them, and more would be inclined to do so. No one wants to ship with a company if their package isn't secure.

    Without BD, the accounts wouldn't be handled properly. Yes sometimes the driver makes/breaks the account. But how many people have said "i'm a driver not a salesman."

    Without IE, we wouldn't know how many drivers we'll need for a particular week, or the best way to plan out a route. I'm not saying IE is god, but it's like predicting the weather. Sometimes a driver can plan the route better than IE, and sometimes they can't. If we left it up to all the drivers to figure out, you know there would be plenty who would make the route as easy as possible and leave off those "pain in the ass" stops. Being in IE is like being a meteorologist... you can never be right.

    So yeah, let's FIRE EVERYONE but the drivers.
  13. Bubblehead

    Bubblehead My Senior Picture

    Hoaxster, I tought it was interesting that you choose to reply to the above post while ignoring the one below.

    There is "fat" to be trimmed in the wage equation but it's not in the package car ranks. To many suits in this company all trying to justify their existance.
  14. vamountainman

    vamountainman New Member

    I would like to see more top executives take a cut in their cash bonus or some other cuts in compensations as we have taken a 4% deduction this year, no merit increases, no 401K match, no turkey coupon, stock options reduced, etc, etc.....I know, woopie on the turkey coupon, just throwing that in!

    We spend so many millions to sponsor failing race teams and the UPS employees are sacraficing to help the company by other pay cuts. Do we really need to have all these race teams this year? Take a year off or two. Come back stonger when economy turns around.....I am a fan of NASCAR, but I realy think we could miss a year or so.

    Lets get the top brass to come on board with the office folk and show they can make sacrifices as well. Take a hit for the team. Talk about encouraging the workers, letting them know your one of us too.....
    It's only the right thing to do and not to mention how it shows good leadership.
  15. Monkey Butt

    Monkey Butt Dark Prince of Double Standards Staff Member

    It's real simple...look at the two times on the posts. They are at the same time. When brownmonster (whom I like and respect) had posted his post, I was in the process of creating my post. Simple as that. Perhaps your choice of your BC name was prescient. :wink2:

    However, I will take the time to reply to brownmonster and you (but keep in mind, not to anyone who makes a post while I am typing this - such as vamountainman).

    These are the 7 primary levels of mgt at UPS that have people reporting to them (in my mind that defines mgt).
    Mgt Committee
    Region Mgr
    District Mgr
    Region Staff Mgr
    District Staff Level

    Over half of the mgt people do not have people reporting to them or are in support roles and do not actively manage other people (sole-contributors). UPS shoehorns them into an obsolete industrial-based mgt structure dating to the 70's and before, primarily for the purpose of defining a salary bracket.

    The role and responsibility of mgt is to Plan, Organize and Control the efforts of the organization. Most of these sole-contributors are involved in the Planning and Organizing efforts of the organization.

    I agree that there is fat everywhere at UPS and probably more in the area where these quasi-mgt personnel do not have people reporting to them.
    UPS has analyzed what these people are doing and determined if what they are doing is value-added to the efforts of the organization and whether what they are doing is important to the customer.
    UPS has eliminated many of these positions in the last 5 - 10 years and continues to do so today. We will continue to do so until we reach a point where we perceive that UPS has lost too much in the Planning, Organizing and Controlling UPS efforts and then UPS will will add back as needed.
    UPS has also eliminated Regions and Districts to reduce the support mgt structure.

    Anyway, that is the Cliff Notes on UPS mgt and their roles and responsibilities that one can use to understand why UPS Mgt is slowly reducing the UPS mgt ranks in a controlled manner that ensures adequate control and mgt loyalty to the organization.
    Last edited: Mar 14, 2009
  16. InTheRed

    InTheRed New Member

    But eliminate them all! Only the drivers make money! Everyone else wastes it!

  17. ups767mech

    ups767mech New Member

    Why would i have a different opinion if i were a package car driver? This should be interesting to hear.
  18. 705red

    705red Browncafe Steward

    The company is cutting jobs from within the hubs, the package handlers, package drivers, feeders etc. The people that provide a service and help to make the company a profit.

    Whats being said by others is there are better areas to trim which would make the company more profitable. Theres about 70 ptime sups on my twilight for almost 400 ptimers, thats almost 1 sup for every 5 productive employees!
  19. Monkey Butt

    Monkey Butt Dark Prince of Double Standards Staff Member

    I don't know an exact % but from what I hear, their compensation has been reduced much more than 4%.
  20. Excellent thread...... particularly the posts from InTheRed and Hoaxster.

    UPS is a great company to work with/for, every position has its reasons for existing and duties to be performed. Red broke it down pretty good. And a business, a good business like UPS, will always continue to adjust and adapt to ever changing conditions.

    As the thread began about CEO Davis total compensation at 5.2 million in 2008, I believe I read an article some time ago about Eskew getting 6.2 million in 2006.

    While these sums pale in comparison to CEO's of other similar size companies, it should be noted, however, that 6.2 million dollars is $16,986 each and every day of the year(including weekends), while 5.2 million is only $14,247 daily.