What exactly does an executive have to do to not get a golden parachute? Former GM CEO Rick Wagoner ran the company into the ground, and will now retire with $8.6 million for his trouble. That figure was negotiated down from the $23 million the old pre-bankrupt GM would have had to pay Wagoner. Sorry Rick, but it’s a rough economy.
GM CEO Rick Wagoner resigned Sunday, apparently at the request of the Obama administration as part of a larger bailout agreement. The ouster of the man who gave us the Hummer wasn’t entirely unexpected. He spent the last eight years driving the world’s biggest car company into a ditch. Now if only we could apply this logic to the banking bailout. Update
As congressional leaders, the White House and President-elect Obama came to terms with a $15-billion loan package for the auto industry, Sen. Chris Dodd suggested Sunday that not all executives should stick around to spend that money. GM CEO Rick Wagoner “has to move on,” the senator declared on “Face the Nation.”