Saturday, February 7, 2009
If Jeffrey Immelt, Chairman and CEO of GE, had to take a salary cut to $500,000, should high earners within GE and its subsidiary NBC be made to take the same pay level? Should Brian Williams, anchor of NBC Nightly News, and David Letterman of the Late Show do the same? Immelt’s total compensation for 2007 was $15.48 million, including salary, bonus, other (perks) and stock gains. Williams’ contract is a reportedly $10 million per year and Letteman’s $31 million. If Immelt’s pay is obscene, what about Williams’ and Letterman’s? Fortunately Immelt went to private sources (Warren Buffett) to borrow $3 billion for troubled GE Credit, not the government. Who says Fortune 500 CEOs are stupid?