/ General Motors, News, Other / GM Not Allowed to Pay CEO as Much as it Wants

GM Not Allowed to Pay CEO as Much as it Wants

Linked In Share
GM Not Allowed to Pay CEO as Much as it Wants

The U.S. government limit GM’s budget for its CEO, Dan Akerson, payment.

In 2011 GM paid Akerson $7.7 million, but the company wanted to pay him more, so on Friday, April 27th, it took the opportunity to call out government rules that continue to limit Akerson’s pay. In 2009 the government bailed out GM, giving the Treasury Department say over its executives’ pay packages. Although the company had a record-breaking year for profits last year, the government still retains almost one third of the company’s stock. GM argues that Akerson’s salary is less than that of corporate chiefs at comparable companies. For example Ford’s CEO Allan Mulally received almost $30 million in 2011.

Akerson’s salary won’t rise next year since the Treasury Department announced earlier this month that it’s freezing executive pay for GM, AIG and Ally Financial at 2011 levels, the three companies which are still repaying government funds. In the recent weeks CEO pay has been the subject of many controversies, a group of shareholders at Citigroup even voted to reject the bank’s executive pay package, considered unnecessarily large.

by Ana Cezara Savin (my Google+) - Saturday, April 28th, 2012 - filed under General Motors, News, Other. Image credit: .
Linked In Share
Related Articles


Discuss: GM Not Allowed to Pay CEO as Much as it Wants

One Response to “GM Not Allowed to Pay CEO as Much as it Wants”

  1. Alex says:

    When I first read this, I thought it might be a case of government intruding on private business. But then I thought about it, and I believe it is what the free market is supposed to be. We seem to have forgotten that the company BELONGS to the SHAREHOLDERS, not the CEO! And if the US government is a major shareholder, then it has a say in how the company is run.

Leave a Reply


















Inautonews Facebook PageInautonews RSS FeedInautonews TwitterInautonews Youtube Channel

Sign up to receive our email newsletter on your email. It's safe. No spam!

Schumacher starting to wake up – manager
Schumacher starting to wake up – managerApr.4 (GMM/Inautonews.com) Positive news emerged from Grenoble on Friday, with Michael Schumacher's manager revealing he is ...
Happy Birthday: the car wash is 100 years old
Happy Birthday: the car wash is 100 years oldJust for the sake of being spot on the record, the 100 anniversary is for the “production line” car wash – an event that ...
See a stealth tank disappear or disguise as a car
See a stealth tank disappear or disguise as a carWhile not long ago this would have been the stuff of science-fiction, the PL-01 prototype tank is a three person, 35 ton real ...
[VIDEO] BMW M4 Convertible – first promo released
[VIDEO] BMW M4 Convertible – first promo releasedBMW has released the first promotional video with the recently unveiled M4 Convertible. If you were curios how the new BMW M4 ...
Bentley’s Q1 sales grow 17%
Bentley’s Q1 sales grow 17%Although not long ago the world faced a big economic crisis, the premium and luxury brands have been among the first to recover ...
Lamborghini Aventador completely destroyed in Malaysia
Lamborghini Aventador completely destroyed in MalaysiaA Lamborghini Aventador has recently met its end in Malaysia in an accident which involved five Lamborghini supercars. Cruising ...
[VIDEO] Christian von Koenigsegg talks about the Koenigsegg One:1
[VIDEO] Christian von Koenigsegg talks about the Koenigsegg One:1Christian von Koenigsegg has went into details on his latest creation, the Koenigsegg One:1, which will become the world’s ...
GM boosts pick-up truck discounts
GM boosts pick-up truck discountsWhile Ford’s F-150 sits comfortably at the top of the full size pick-up truck US game, March brought a never before seen ...
BMW X4 order guide leaked
BMW X4 order guide leakedThe order guide for the recently unveiled BMW X4 has leaked onto the web ahead of the model’s public debut scheduled for the ...
China: Audi sales grow in the first quarter
China: Audi sales grow in the first quarterVolkswagen AG’s premium brand, Audi, has registered a very healthy increase on the Chinese market, with a double-digit jump ...
Mercedes-Benz S500 4Matic Coupe and S63 AMG 4Matic Coupe – order books opened
Mercedes-Benz S500 4Matic Coupe and S63 AMG 4Matic Coupe – order books openedMercedes-Benz has just opened the order books for the Mercedes-Benz S500 4Matic Coupe and for the S63 AMG 4Matic Coupe in ...
[VIDEO] Jaguar F-Type Coupe gets new promos
[VIDEO] Jaguar F-Type Coupe gets new promosThe “British Villains” marketing campaign is being continued by Jaguar North America in which actor Tom Hiddleston is ...
Canada: Toyota workers could join union
Canada: Toyota workers could join unionThe employees at Toyota’s Ontario facilities could vote next week whether to join the Unifor union, the Canadian Auto Workers ...
[VIDEO] Ferrari LaFerrari tribute Forza Motorsport 5
[VIDEO] Ferrari LaFerrari tribute Forza Motorsport 5The creators of Forza Motorsport 5 have released a tribute to the impressive Ferrari LaFerrari which is shown in action, ...
Next-gen Mazda 2 spied
Next-gen Mazda 2 spiedThe future generation of the Mazda 2 has been recently caught on camera by our spy photographers as the model was wearing a lot ...
Read more automotive news


2013 Frankfurt Motor Show Live Images

Early-Car-Wash
stealth_tank
bmw-x4-order-guide-01-1
Spied Mazda 2 - 1
2015 Mercedes C-Class Cabrio Spy Image
2015 Mercedes M-Class Facelify Spy Image
mclaren 650s laguna seca 1
Citroen DS 5LS R Sport Sedan Concept 1
Audi RS6 Avant gets updated by HPerformance 1
BMW M4 Cabrio Front View image
2014 Ferrari Challenge Back of the Ferrari 458C
Lamborghini Aventador lp700 - faster than a Nascar Car

More automotive from inautonews
Just for the sake of being spot on the record, the 100 anniversary is for the “production line” car wash – an event that gathered 5,600 industry professionals to Chicago for this year’s International Carwash Association convention. The association actually operates around 150,000 retail ...
read more
Inautonews Editors Section
Do you have £200,000? Then you can have the trip of a (hazardous) lifetime
Do you have £200,000? Then you can have the trip of a (hazardous) lifetimeAre you tired of the ever-boring home to work commute? Well, if you’re the adventurous type and can afford the paycheck, the world's most hazardous ...
Check out the everyday cars of St. Moritz – photo gallery
Check out the everyday cars of St. Moritz – photo gallerySt. Moritz is the oldest winter holiday destination in the world – and on the same time it is probably the most expensive ski resorts in the ...
Test Drive: Renault Captur 0.9 – TCe 90 – fast review
Test Drive: Renault Captur 0.9 – TCe 90 – fast review After we’ve tested almost all Renault Captur models, we decided to check out the 3-cylinder engine - 898 cc 66kw (90 hp) model. Why we’ve ...

Editors Section
Inautonews Editors Section
2011 Safest Cars [Video] 2011 IIHS Safest Cars [Video] 2011 EuroNCAP Safest Cars 2010 Safest Cars [Video] 2009 safest cars Euro NCAP

Latest in Safety Recall roundup: 655,354 units of the Jeep Grand Cherokee and Dodge DurangoChrysler has issued a much larger recall of the Jeep Grand Cherokee and Dodge Durango SUVs because ... US government makes backup cameras mandatory by 2018In a good example of how a study can trigger a new safety feature, the US Department of ...
Safety Section