Motorola Inc. on Wednesday unveiled a series of cost-saving moves, including cutting the base pay of its top two executives and freezing pension contributions.
The troubled US mobile phone manufacturer said co-chief executives Greg Brown and Sanjay Jha had both agreed to a 25-percent decrease in their base salary next year.
Brown will also forgo his 2008 cash bonus, the Schaumburg, Illinois, company said in a statement, while Jha, who took over Motorola's mobile devices unit in August, will take a reduced cash bonus as restricted stock.
Motorola, without providing any details, also said "employees in many of the markets in which it operates will not receive a salary increase in 2009."
The company also announced new rules governing its pension contributions.
Motorola said that as of March 1 it will "permanently freeze its US pension plans, preserving vested benefits accrued by employees and retirees but eliminating future benefit accruals."
It said that as of January 1, it will temporarily suspend making matching contributions to the the 401(k) retirement plans of employees.
Read on.
1 comment:
Many more Americans will lose their penisons and companies will never bring it back. It's no better time for Unions in this country as the GOP wants workers to work for nothing. Yes the Law Makers give themselves a really big raise for doing nothing.
Post a Comment