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Politics : Formerly About Advanced Micro Devices -- Ignore unavailable to you. Want to Upgrade?

To: Road Walker who wrote (441598)	12/20/2008 3:33:11 PM
From: tejek	Read Replies (1) \| Respond to of 1574258

I would love to see the breakout of costs attributable to mgmt vs costs to labor on the factory floor. Given the salaries of Wagoner and Mulally, I have to believe that mgmt labor costs also are a major drag on the big three particularly if mgmt makes up 1/3 of total employment at GM and Ford like it does at Chrysler. Even the roar from Congressional critics about assembly line largesse seemed to miss the fact that (according to the UAW) labor costs account for about 10 percent of the cost of producing a vehicle; the remaining 90 percent includes research and development, parts, advertising, marketing and management overhead. One major point about compensation and wage disparities: In 2007 GM's CEO Rick Wagoner earned about $15.7 million (including $1.6 million in salary, plus non-equity incentive compensation, benefits and other expenses), a jump of 64 percent compared to 2006. Ford’s CEO Alan Mulally's total compensation in 2007 was $21.7 million, including a $2 million base salary. Meanwhile, last year Toyota paid its entire 37-member leadership team approximately $22 million. (Stock options and amenities like housing and country club membership weren't factored into the figure.)