Thursday, March 30, 2017

Executives of "cash-strapped" Bombardier get 50% pay rise

Not that much time has elapsed since I was reporting on the $1.3 billion gifted by the Canadian and Quebecois governments to the troubled aerospace company Bombardier Inc.
But here I am reading another article explaining how Bombardier's senior executives received a nearly 50% increase in their compensation last year.  So, at the same time as the company was laying off thousands of workers, pleading poverty and failing to deliver products on time, it saw fit to reward its top brass with unprecedented wealth: among others, board chairman Pierre Beaudoin raked in $5.2 million, and CEO Alain Bellemare earned $9.5 million; the top six earned a ridiculous $32.6 million between them.
And the justification for such largesse? Apparently, achieving profit and cash flow targets, securing orders for the C-series airplanes, the first flight of the Global 7000 business jet, and making significant progress on the company's plans to revive its fortunes.
All of which makes one wonder why the company needed a huge injection of public funds.

After a huge public outcry and substantial demonstrations outside their Montreal headquarters, Bombardier's CEO Alain Bellemare has announced that the increases that have so incensed people will be postponed. Actually, just over half of the proposed increases will be deferred  ("deferred", notice, not cancelled), so that the poor beleaguered execs of Bombardier will now have wait until 2020 for their 2016 bonuses.
It's too little, too late, of course, but hey, now no-one can accuse Bombardier of being crass and insensitive...

No comments: