American industry suffers from greed

We're told on a daily basis that American business is suffering because of outsourced labor and because cheap production costs in foreign countries puts us in a non-competitive position. There may be another reason some industries are suffering and some workers are losing their jobs - GREED.

A report out this week shows that the new CEO at Ford Motor Company was paid $28 million for his first four months on the job. Now you have to understand that Ford lost just over $12 billion last year and will likely be replaced by Toyota as the second largest auto manufacturer this year. So how can Ford or anyone else justified this massive salary for a company in trouble?

I want every person in the world to make as much money as possible and to succeed. But when you hear about $50 million bonuses for Wall Street money managers and $28 million for four months of work, you have to wonder about what is creating the problem in the first place. I assume Ford CEO Alan Mulally is a talented and bright manager. But I question if anyone in a similar position should merit that size a windfall especially in view of his company's position.

In an attempt to boost morale, Ford announced last month a new bonus program for its employees. Ford workers received an average of $300-$500 bonuses this week. Well rest assured, any morale boost from those meager bonuses has been eliminated by the news about the company CEO.

I have never been a big booster of organized labor but believe me, if I were busting my fanny for the company and heard the CEO was getting that kind of bonanza, I would want to discuss a new contract pronto.

Granted, many old-line industries in this country have been killed by foreign imports. The steel industry has virtually evaporated in this country because of cheap steel imports. And the auto industry is a prime example of too much expense and too little revenue. But maybe it's not the threat of foreign imports alone that has harmed some of the foundation industries of this nation. Maybe we should examine greed by the workers and greed by management. Eliminate greed and perhaps we return to a competitive position.

At the same time, Google this week announced that their three top executives had received the same pay this year as last. All three managers took a salary of $1 this year. Now don't misunderstand, those top executives earned millions from their stock increases. But they sent a clear signal to their thousands of employees unlike Ford and many others.

If this nation is to one day return to a position of power on manufacturing at the international level, there needs to be a day of reckoning. Regardless of the position or the responsibility, $28 million for four months of effort is simply wrong. It would be wrong if Ford were making massive profits just as it is as they post massive losses.