Pre-Bankruptcy Retention Bonuses - At Hertz, Penney, Libbey, Others - Are Rampant
Hertz, JC Penney JCP, Libbey, Borden, Chuck E. Cheese: All of these well-known American companies have two things in common. They all have filed or are expected to file for bankruptcy and they all paid out generous bonuses to some of their executives, usually right before they filed.
The disparity in pay scales between C-level officers and rank-and-file workers in American business has perhaps never been as wide as it now. Nor has it ever been more contentious an issue as it is now.
With government bail-outs and loans going to many American corporations at the same time they were laying off or furloughing hundreds of thousands of workers, providing six and seven-figure payouts to senior managers has risen to near the top of arguments that big business has gone too far.
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Forbes by Warren Shoulberg. Published June 9, 2020.