Cost-Cutting Companies Target No. 2 Execs

From private jets to bodyguards, they just keep taking

(NEWSER) - The CEOs of bailed-out banks and financial companies saw their perks and benefits—ranging from private jet use and country club membership to free parking and bodyguards—rise even at the height of the crisis last year. On average, the CEOs of the 29 biggest companies that received federal money got $380,000 worth of perks in 2008, and for half of them, that was an increase over the year before. Meanwhile, non-financial CEOs had their perks cut by 7%. More»

Fired Merill CEO tries to 'set the record straight' about $3.6B payout

(NEWSER) - In his first lengthy interview since being pushed out as CEO of Merrill Lynch, John Thain tells the Wall Street Journal that Bank of America—which acquired Merrill in September—is lying about its involvement in the $3.6 billion in bonus payouts that made Thain the poster boy for corporate greed. “Getting fired is one thing,” Thain said. “But nobody has the right to say things that they know aren't true.” More»

(NEWSER) - More American CEOs than not received raises in 2008, Reuters reports. An AFL-CIO poll of 946 chief executives saw 480 with increased pay, while 463 took a cut. Salaries were up 7%, too; execs with raises earned an average of $5.4 million, while those who saw cuts took in an average of $3.9 million. The union hopes the results will spark a conversation on executive compensation. More»

CEO needs to shrink, simplify the business, but can't

(NEWSER) - Don’t envy GE’s Jeffrey Immelt. Though his core business remains profitable, the CEO presides over a huge, unwieldy empire. Parts of the conglomerate, like GE Capital, have tanked the entire corporation’s share price and caused it to lose its prized AAA credit rating. Worse, Immelt may have to sell the finance arm or other businesses to shrink the firm, writes Jena McGregor for BusinessWeek. More»

And he may soon have company

(NEWSER) - Like most CEOs, William McComb is a jet-setter, flying 200,000 miles a year, give or take. But unlike most CEOs, he does it in the cheap seats, flying exclusively on commercial jets, and almost always in coach. “Every penny counts,” he reasons, given that his company, Liz Claiborne, has posted a loss for four straight quarters. More»