Thursday, August 16, 2012

Income inequity anyone? (Not a job creator)

Now, those of you who claim the wealthy to be "job creators" and that they need lots of money are wrong.
This guy does not create job #1 with his own money. Amazing how the CEO gets a huge raise while they are looking for ways to jettison employees.

FedEx CEO Frederick Smith Sees Pay Nearly Double To $13.7 Million

NEW YORK -- The founder and top executive at FedEx Corp. received a pay package worth $13.7 million in the most recent fiscal year, nearly double a year earlier.

That hike for CEO and Chairman Frederick W. Smith was due to the addition of long-term incentive pay, which rewards the company's top brass for meeting certain earnings thresholds over a three-year period. It was the first time in four years that FedEx executives got long-term incentive pay. The company said significant earnings per share growth since the recession resulted in executives collecting maximum payments in fiscal 2012, which ended in May. Full-year earnings per share jumped 70 percent from fiscal 2010 to 2012.

The rest of the payout to Smith rose only slightly from a year ago. The 68-year old executive, who started FedEx in 1971, took home a $1.3 million salary in the year that ended in May, a 2 percent increase from the year before. Smith didn't receive any new stock awards, but the value of his option awards rose 3 percent to $5.4 million.

A performance-based cash bonus, which incorporates Smith's annual and long-term incentive pay, soared to more almost $6.6 million from $375,000 in fiscal 2011. About $5.3 million of that was the reward for long-term performance.

The value of Smith's perks, which included everything from a company retirement plan contribution to use of corporate jets, rose 10 percent to $470,971.

While FedEx's earnings have accelerated rapidly since the recession, the world's second-largest package delivery has indicated recently that it's not immune to global economic conditions.

In June it warned that the world's slowing economies will crimp its earnings through next year. It has trimmed its fleet of airplanes and offered thousands of workers buyouts to counter a falloff in demand. The Memphis, Tenn., company's forecast for the fiscal first quarter fell below Wall Street's expectations, while its range for the year was below most analysts' views.

FedEx is closely watched for signs about the health of the economy, because of the millions of packages it delivers every day. It forecast only moderate growth for both the U.S. and the world economies, citing the debt crisis in Europe and a slowdown in Asia.

FedEx's larger competitor, Atlanta-based United Parcel Service Inc., also cited slowing Asian shipments as it reported lower-than-expected first-quarter results in late April. Much of UPS' profit growth came from its core U.S. business, where revenue was up on higher volume and prices. That was offset by a shift toward lighter packages and slower shipping methods.

The AP calculation of executive pay packages is based on a filing with the Securities and Exchange Commission. It aims to isolate the value company boards place on CEO's total compensation package. It includes salary, bonus, incentives, perks and the estimated value of stock options and awards.
• Location: Not a job creator
•it's NOT ok to contact this poster with services or other commercial interests


Anonymous said...

I don't see the point of this particular article! Sure, Fred got a large bonus this year, and it may be close to 61,000 times the bonus I received this year. But they work things differently at the top, and there was different criteria for the bonus paid. At the top they may earn a relative small wage/salary and then get paid a larger amount with the bonus which is tied to some kind of incentive plan. So what's the tie in to the general workforce at FedEx??


FedEx Plans to Add Flight Crew Quarters FedEx Corp.

is planning to add sleeping quarters at its World Service Center on Democrat Road to serve flight crews, according to a $2 million building permit application filed with the city-county Office of Construction Code Enforcement.

The project scope listed on the application includes demolishing the interior of building C to add 128 sleeping rooms and toilets for FedEx crews.

The addition comes in the midst of other construction projects at the FedEx hub. In June, the company opened its new hub screening facility, a 30,500-square-foot facility where employees and others enter the hub on Democrat Road. The project also included a 220-foot pedestrian bridge over Democrat to connect the screening facility and a parking lot.

FedEx plans to complete a large piece of its expansion project – a two-story, 125,102-square-foot sorting building – this fall.

Source: The Daily News Online & Chandler Reports

– Memphis Daily News staff

Anonymous said...

Rosalio at orange hub is a rat so ...look out for this guy. He came from Anaheim hub...

irudedog said...

we have five employees at our mira loma terminal who have to make a choice soon of becoming part timers, and lose their medical benefits or take a buy out of a weeks pay for every year of employment. smith's bonus was $13.7 million. that's $263,461 a week. he could have kept those people five employed for one more year! and if businees would pick up maybe even longer. does he really need anymore money? for a company who always says it cares for their employees is bullshit.

Anonymous said...

i agree with you brother irudedog! fedex just promises and promises but always find ways to screw us over! they paint us a nice scenario....8 hours, good schedule but there all lies! its also our fault for being dumb and keeping up with this bulls**t! we need to unionize! and if you dont unionize you are just plain stupid and ignorant. GO TEAMSTERS!!!!!

SLG DRIVER....alone but soon will be followed by many.

newteamster said...

Slick Teamster you and rudy are followed by the entire SBO dock and most of the SBO drivers. We cant wait to vote and gain some respect and dignity from Manager Russ Fleck and the red shirts he controls. Viva La Teamsters!!!!!!

Joe Nuno said...

Here is a financial advise to Frederick W.Smith and William Louge, you want to earn more money, get rid of all Assistant Terminal Managers. Just look at all the millions of dollars in savings by not having Assistant Terminal Managers, an Operation Manager can manage to run a Service Center when a Service Center Manager is off or on vacation" Having dead weight like Alex Parra, Santiago Jr. Rios and other ATM's is waste of cash flow. What is their earning salary per year? Over $100,000 a year, think here, how many of them do you have in the system? Probably more than two hundred Assistant Terminal Managers. Well, this is time to accept Andy Lessin declaration of War because of us forming a union, and Alex Parra declaring that he had Victory on firing me, Joe Nuño at a employee baseball gathering, because of my union involvement, then Santiago Jr told Alex to shut his mouth. Talk about playing dirty, they both knew including Mark Link, snapshot is a system to eliminate old EMPLOYEES, especially those who favor unionizm.

Anonymous said...

What about Manu...he's also incompetant,their biggest accomplishments are arranging the yard(what a joke) and setting up a stupid baseball game,hahahah. loosers!!

Anonymous said...

its funny how fedex being such a huge corporation have some of the dumbest people in the world as management. they do have the hardest workers but the dumbest supervisors and managers :)

slg driver