Richard Schulze Chairman of Best Buy Co Inc. has resigned after an investigation showed that he failed to take action or notify the board concerning the after learning that former Chief Executive Officer Brian Dunn had violated Best Buy’s policy by having "an extremely close personal relationship" with a female employee,
The board of Best Buy confirmed that an investigation by the board concluded that the relationship "negatively impacted the work environment," but involved no misuse of company resources.
OK, so CEO Brian Dunn violates company rules, by sleeping with a female employee; his punishment includes getting a check for $2.85 million
As for the Chairman, who failed to take action; he gets a $6.6 million severance package. Keep in mind this is from a company that is bleeding red ink.
Now this story comes as we are hearing of the $2 Billion dollar loss stemming from reclessly risky trading by sever at JPMorgan Chase. When you figure in the full scopre of the losses, including Account Share Price, some are saying that the losses can reach closer to $20 Billion, Granted, stock prices rise and fall, so that $20 Billion figure is overstated. That said the actual losses are real, unnessearry and massive in scope; so what punishment fell on the people responsible- the top trader Ina Drew would be entitled to the continuation of almost $14.7 million in stock awards in case of resignation.
Think of how many people loose their jobs each year, as a result of no fault of their own, yet if you are smart enough, and or lucky enough to reach the top, it seems the fall is often cushioned by multi-million dollar “golden Parachutes.” I can’t help but recognize how often the same people who will have little sympathy for middle class workers loosing their jobs, will themselves be protected by severance packages 10 times greater than the average worker wil make in their lifetime.
The board of Best Buy confirmed that an investigation by the board concluded that the relationship "negatively impacted the work environment," but involved no misuse of company resources.
OK, so CEO Brian Dunn violates company rules, by sleeping with a female employee; his punishment includes getting a check for $2.85 million
As for the Chairman, who failed to take action; he gets a $6.6 million severance package. Keep in mind this is from a company that is bleeding red ink.
Now this story comes as we are hearing of the $2 Billion dollar loss stemming from reclessly risky trading by sever at JPMorgan Chase. When you figure in the full scopre of the losses, including Account Share Price, some are saying that the losses can reach closer to $20 Billion, Granted, stock prices rise and fall, so that $20 Billion figure is overstated. That said the actual losses are real, unnessearry and massive in scope; so what punishment fell on the people responsible- the top trader Ina Drew would be entitled to the continuation of almost $14.7 million in stock awards in case of resignation.
Think of how many people loose their jobs each year, as a result of no fault of their own, yet if you are smart enough, and or lucky enough to reach the top, it seems the fall is often cushioned by multi-million dollar “golden Parachutes.” I can’t help but recognize how often the same people who will have little sympathy for middle class workers loosing their jobs, will themselves be protected by severance packages 10 times greater than the average worker wil make in their lifetime.
Posts
