Teamsters want gap exposed between worker, CEO pay

Teamsters know firsthand what happens to workers when a CEO is allowed to loot his company: The workers get less when the CEO gets more.<br /><br />In the case of McKesson Corp., <a href="http://teamsternation.blogspot.com/2013/09/McKesson-CEO-jaw-dropping-pay.html" rel="nofollow">CEO John Hammergren was planning on taking home $51.7 million</a>. Here's what he did to deserve that enormous compensation: preside over a company that paid the government $200 million in fines last year to settle charges for Medicaid fraud and price fixing. Workers who voted to become <a href="http://www.teamster.org/content/teamsters-protest-mckessons-worker-abuse-and-executive-pay-shareholder-meeting" rel="nofollow">Teamsters, meanwhile, can't afford healthcare and are facing McKesson's high-priced union busters</a>.<br /><br />Shareholders knew about the disparity and <a href="http://teamsternation.blogspot.com/2013/08/McKesson-shareholders-reject-CEO-pay.html" rel="nofollow">voted against McKesson's lavish pay</a> at the July shareholder meeting.<br /><br />Exposing the gross inequality between CEOs and workers <i>can</i> shame companies into paying them less. That's why the Teamsters came out in support of an SEC proposal to require companies reveal the disparity between CEO pay and worker pay.<br /><br /><a href="http://www.teamster.org/sites/teamster.org/files/IBT_Hall_Letter_to_SEC_on_pay_ratio_disclosure_102013.pdf" rel="nofollow">Teamsters General Secretary-Treasurer Ken Hall sent a letter</a> to the SEC endorsing its proposal on the CEO-to-worker pay ratio. According to <a href="http://teamster.org/">teamster.org</a>,<br /><blockquote class="tr_bq">The International Brotherhood of Teamsters supports the SEC’s proposal to require corporations to reveal the difference between the pay of their CEO and their average workers. </blockquote><blockquote class="tr_bq">The SEC rule is required by the Dodd-Frank Act, which became law more than three years ago. Once the rule is written, investors such as Teamster benefit funds will have:<br /><ul><li>a better way to assess the board of directors who set executive pay;</li><li>a correlation between compensation practices throughout companies and morale and productivity; and,</li><li>an important way to measure CEO pay for advisory proxy votes on executive compensation plans.</li></ul>Teamsters General Secretary-Treasurer Ken Hall said the Teamsters’ perspective is important as long-term investors protecting the retirement security of hundreds of thousands of American workers.<br />“The rule will help solve the problem of excessive CEO pay, which harms our funds’ investments, the sustainability of U.S. corporations and the employment and retirement security of Teamster members,” Hall said.</blockquote>We'll keep you posted on the SEC's progress in laying down the rule. Because you know those big corporations don't like it one little bit.

CEO Pay McKesson Teamsters want gap exposed between worker, CEO pay

Teamsters know firsthand what happens to workers when a CEO is allowed to loot his company: The workers get less when the CEO gets more.In the case of McKesson Corp., CEO John Hammergren was planning on taking home $51.7 million. Here's what he did t…

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