Tag Archives | CEOs

Bank of America Hands Out 30,000 Pink Slips To Boost Profits

American Union BankAaron Cynic writes at Diatribe Media:

Bank of America announced it would send 30,000 more people to the unemployment line in a massive layoff in the hopes of cutting costs. The majority of people cut would be those working in data centers and deposit systems, according to reports from Bloomberg.

The layoffs are part of a plan by CEO Brian T. Moynihan, who wishes to cut $5 billion in annual costs in order to bolster the bank’s profits and stock:

“Profit is under pressure mainly because of losses, legal costs and writedowns tied to the 2008 takeover of subprime lender Countrywide Financial Corp. At the same time, revenue is shrinking as the U.S. economy slows. Moynihan has said that because the bank is one of the biggest consumer lenders, its fortunes are closely tied to home prices and the jobless rate.”

According to some admittedly unscientific data, the average salary for a Bank of America job is probably right around the $50,000 per year mark.… Read the rest

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Major Corporations To Hide Income Disparity

Aaron Cynic writes at Diatribe Media:

A group of 81 major corporations believe that public knowledge of what their CEOs make in respect to the average worker is “useless” information. The Washington Post reports that more than a year ago (H/T Alternet), some of America’s biggest corporate movers and shakers began lobbying Congress to force changes to the Dodd-Frank Wall Street Reform and Consumer Protection Act, so companies needn’t bother disclose the wage gulf between executives and workers. A House committee approved the bill 33–21.

Rep. Nan A.S. Hayworth (R-NY), who sponsored The Burdensome Data Collection Relief Act (HR1062), said comparing a CEO’s wage to the average worker could “mislead or confuse investors” and that such a comparison “creates heat but sheds no light.” Tim Bartl, senior vice president and general counsel for the Center on Executive Compensation asked “You can already tell where a CEO falls relative to his peers, you can already tell where he falls relative to the average worker in the industry.… Read the rest

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