08-09-2008, 05:20 PM
There have been other Golden Parachute benefactors. Usually the golden parachute is in the contract before the CEO is fired. I often times have to ask myself: isn't this just asking for failure in that position? I have a problem with a contract that says, I succeed I get paid rediculous amounts of money, I fail I get paid rediculous amounts of money. Where's the incentive to do better? It's not like you aren't going to be able to move to a different company, even if the one you're at falls on its ass. I'll say this, if I was operating under one of those massive benefit if fail to meet objective/goal contracts, I'd be a lot wealthier during my job search:P
Don't get me wrong, there are some executives worth what they get paid, they're just few and far between. One that comes to mind is from a far earlier era, Schwab, Carnegie's righthand man for a long time. Iacoca (sp?) is another one.
It just seems different from a situation involving a partnership where you *need* a partnership agreement in case something happens. Partner becomes incapacitated, dies, goes bankrupt, etc. the partnership dies under default rules (automatic dissolution). Therefore, you need a document that addresses reorganization,
Don't get me wrong, there are some executives worth what they get paid, they're just few and far between. One that comes to mind is from a far earlier era, Schwab, Carnegie's righthand man for a long time. Iacoca (sp?) is another one.
It just seems different from a situation involving a partnership where you *need* a partnership agreement in case something happens. Partner becomes incapacitated, dies, goes bankrupt, etc. the partnership dies under default rules (automatic dissolution). Therefore, you need a document that addresses reorganization,