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They don’t employ all 150,000 union members and a 40% raise is on average likely to be less than 40,000 but the points are still the same. Reducing the CEO’s sa
by kemotep 3y ago
They don’t employ all 150,000 union members and a 40% raise is on average likely to be less than 40,000 but the points are still the same. Reducing the CEO’s salary to give the workers a raise of more than a few cents would require the CEO to pay hundreds of millions of dollars. So it has to come from profits or costs have to go up.
This[0] statement from Ford does align with what you are saying, I clearly misread the 150 billion number which was revenue. However they claim to have over 30 billion in cash it looks like. 2 billion of that could cover $40,000 raises for up to 50,000 employees for the next 15 years. Even splitting that by raising costs by some fraction of a percentage, taking out half a billion from the cash and then 1 billion from the profits is more mathematically sound than just saying the CEO should take a cut to cover the costs of the raise.
[0]: https://media.ford.com/content/dam/fordmedia/North%20America/US/2023/02/02/People,%20Plan,%20Products%20Position%20Ford%20Well%20for%20'Pivotal'%202023%20Despite%20Effect%20of%20Volume%20Shortfall%20on%20Q4,%20Full-Year%202022%20Results.pdf https://media.ford.com/content/dam/fordmedia/North%20America...