Big Three CEOs To Take $1 A Year Salaries If Their Companies Get Bailed Out (POLL)

Now that Americans have footed the bill for more than a trillion dollars in bailouts, Congress is finally starting to clamp down on executive pay as a condition for a bailout.

AP reports, "Some members of Congress have urged the Big Three executives to take major pay cuts as part of the deal. Chrysler Chief Executive Robert Nardelli said he would work for $1 a year, and a similar commitment is expected from GM CEO Rick Wagoner. Ford plans to include a pay cut for Ford CEO Alan Mulally, although the size of the cut was not immediately available."

Just this morning, Ford's CEO said he would take $1 a year in pay if Ford got bailed out. Chrysler and GM's CEOs joined the salary-reduction pledge as well.

Ford Motor Co. will tell Congress that it plans to return to a pretax profit or break even in 2011 when its CEO appears before two legislative committees this week.

Also, CEO Alan Mulally said he'll work for $1 per year if the automaker has to take any government loan money.

The plan Ford is presenting to Congress this week also says it will cancel all management employees' 2009 bonuses and will not pay any merit increases for its North American salaried employees next year.

Other cost-cutting actions include a plan to sell Ford's five corporate aircraft, the company said.

Take our poll and tell us if you think this a good policy for all bailed out companies:

Quick Poll

Should CEOs Who Are Getting Bailed Out Forfeit A Salary?

YES

NO

Comments

[castlewalls]

Oh Oh Oh I forgot. If any one sees any of these people at a fancy resturant in your area or at some high social gathering maybe you all should say something like ahhh no wonder why you all need a bailout spending money frivorously again. Are you sure I can afford to pay for this as I an 40,000,000 other americans are not willing to really pay for this.

[noneIn2008]

How about all management giving up their stock options, as they would need to do in a bankruptcy?

[hufSfpoUguyX]

Maybe the UAW could go without dues for the duration of the "loan". That's a better one.

[darthmaul]

To these guys, a successful company = price of stock. That's their yardstick and their planning and thinking about the future is based on the next quarter. Heres an example.Boss says, "What cars did we sell the most of last quarter. Answer: SUV's Boss! " Ok, for the next quarter, let's make even more SUV's. And spend the R&D money on useful features for the SUV's, like cup holders and passenger DVD's. We have to stay cutting edge!"

[berrycooda]

Oh my...what a bunch of sad looking faces on these auto mfr.

Yeah right, they will work for $1.00....How about all the perks...

They have raked in plenty in the past years, and could probably go several years
without any pay.

I think they are all in a panic because of their investments and because the stocks are
way down, they stand to lose a bundle....

Boo Hoo Hoo......

[ChescoMom]

This is the Rethugs chance tobust theunions once and for all--they don't want even a ghost of a chance that when times get better the UAW will pushfor reversal of concessions. And they're willing to let thousands lose their jobs to do it.

[hufSfpoUguyX]

The union is betting ALL of their jobs to not make concessions. Good luck with that.

[ChescoMom]

They offered concessions on Dec. 3rd. Read the paper.

[seatech1]

So they are saying that, IF they receive money from the govt, they will take only $1 annual salary. What I'm wondering is why they haven't already done that? Why wait to see if they are going to get the bailout? They should be taking the $1 per year already, along with removing perks and bonuses (or cash awards) from their packages.
So one can assume that, if they do not get the bailout, they will instead rip the companies off as they have been doing, and will drive them into failure while receiving huge compensation packages for themselves.
The govt should insure that they do not raid the pensions of their workers, and should protect them in the case of bankruptcy. Then the top officers in the companies should be stripped of their pensions, salaries, bonuses, and whatever else, that they received over the last 5 years or so. The execs who led the companies into such bad situations should be the first to have to lose. And they should lose quite a bit.

[L3ftofC3nter]

So now they get to add another doller to the hundreds of millions already stuffing their wallets??????

Thanks but no thanks.

[deminmo]

I would have at one point said to give the Big 3 the boot and let
them re-organize. Then AIG got two bailouts, Citicorp got a bailout,
Fannie Mae/Freddie Mac are getting three so far, Wall Street got a
bailout. None of these people were asked the tough questions nor
were they held to strict guideline for use of the money.
So, give the car makers the money. If these others are "Too Big To
Fail" then so are these guys.
If I had the purse strings, I would say all CEO's were gone, no bonus
for 2008, and this would happen to get the money.

[AnHonestAnswer]

FIRE THESE GUYS!

What are they still there. At any other company these guys would be long gone. They are failures. A second grader could have done better.

FIRE THESE GUYS!

Thank you.

[hufSfpoUguyX]

The U.S Government is farther in debt than GM, Ford and Chrysler put together. The only reason they don't need a bailout is because they can print money. Where's all your anger for them. Nancy Pelosi is still riding in her private Jet.

[AnHonestAnswer]

AND if they don't get a bailout and go for bankruptcy. Then what? Will the CEO's take their regular salaries?

ARE THEY THREATENING US?

Go away go away go away.

Thank you.

[Tidyus]

Yes! Thats what gets me. They should have already cut themselves down to a $1.oo a year salery whether bailed out or not. They don't really seem to care about their companies or the people who will be hurt by job loss. It is like they are saying to us " You want to save the company or not? If not, we'll take the money and run."

[Aesthete]

Shades of Marie Antoinette---no sense of reality.

[PatA]

So these three men who ran three enormous companies into the ground want the taxpayers to actually believe that by getting the BILLIONS, of our money, they will be hurting with $1 yearly salary? WTF? My daddy didn't raise no fools....

These three men have stuffed their wallets full with taxpayer money already and now it is expected that we should buy that load of crap? NO!!!!

[johncando]

Send them GM Ford and Chrysler to Canada here we could export and then Americans might like imported GM cars not made in the USA Kick them out now, are you Thinking?

[bruffin]

Yea right! That is the BIGGEST load of crap I've ever heard.

[StillweRise]

CEO's making $1 per year is a stinking gimmick!

[janeaustin]

Just like driving there. It's all about the PR.