(This sort of corporate greed really irks – but does not surprise – me, especially since we’ve seen so much of it on Wall Street. Frankly, Wall Street is going to bring upon itself a revolution if it is not careful. – KM)
Union workers miffed
after taking cut in pay
MADAWASKA, Maine — As Fraser Papers Inc. stock tumbled in 2008 and losses culminated with Fraser seeking bankruptcy protection in mid-2009, its six top-level executives received $50,000 to $162,500 in bonuses, the company’s spring 2009 report to stockholders revealed.
Fraser’s highest-paid executive was Chief Executive Officer Peter Gordon. He received a $162,500 cash bonus atop his $325,000 base salary, stock option awards of $637,500, another $15,750 in pension value and $3,126 in “other compensation.” His take in 2008: $1.14 million.
Click on the link for the rest of the update by Nick Sambides Jr. of the Bangor Daily News.
Here’s a link to another story about the bonuses: “Bonuses at Fraser small compared to other mills“
Posted in Economy, Maine
Tagged bankruptcy, bankruptcy protection, bonuses, cash bonus, Fraser Papers Inc, Madawaska, paper mill, pay cut, stock option awards, stockholders, union workers
MADAWASKA, Maine — Having just completed a painful contract negotiation with its largest American union, Fraser Papers Inc. now will work to heal divisions within the local paper mill and to finish the company’s emergence from bankruptcy protection, its chief contract negotiator said Tuesday.
“We are pleased that the agreement is ratified,” said Bill Peterson, Fraser’s human resources director. “We know it was difficult for people and it is one giant step that had to occur in order for [a new company] to be born, or to emerge into existence.
“We are obviously closer to the finish line today than we were yesterday,” Peterson said Tuesday.
About 65 percent of the 460 members of United Steelworkers Locals 291, 365 and 1247 approved a new three-year deal Monday that put into effect an immediate 8.5 percent wage cut. Union votes on Nov. 22 and Dec. 30 had rejected the contract overwhelmingly.
Management declared last week that the new deal is among three conditions the re-formed, post-bankruptcy Fraser company, temporarily called Newco, must meet to prevent the closing and scrapping of the 680-worker mill and its sister pulp mill across the St. John River in Edmundston, New Brunswick.
Click on the link for the rest of today’s story by Nick Sambides Jr. of the Bangor Daily News.
Posted in Economy, Environment, Maine
Tagged bankruptcy, Edmundston New Brunswick, Fraser Papers Inc, Madawaska, Newco, paper, paper mill, St. John River, union, United Steelworkers, wage cut, workers