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story category AT&T Freezes Executive Compensation
No raises for managers, CEO gives up 2009 bonus...
(old news - 05:25PM Friday Jan 30 2009)
tags: business · AT&T U-Verse · AT&T Southeast · AT&T Midwest
AT&T CEO Randall Stephenson sent around an e-mail saying that no managers will be seeing raises this year at the company, employees tell Broadband Reports. Stephenson also informed employees that the AT&T board approved his request to give up his own bonus this year, something we've confirmed with AT&T. Earlier this week, the telco also said they'd be delaying the deployment of their U-Verse VDSL service by one year. AT&T isn't alone in cutting back on executive compensation during the recession -- Time Warner Cable recently informed employees they'd be putting a raise freeze in effect for any employees at the VP level or above.

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Forums » AT&T Freezes Executive Compensation
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Eat Me

join:2002-09-25
Sussex, NJ

Thank God I don't work for AT&T

But I suspect my company may be heading down a similar road as we've revised our profit forecast significantly downward.

DoLeMiTe
My Dixie Wrecked
Premium
join:2001-01-11
New Kensington, PA
·Comcast

Re: Thank God I don't work for AT&T

My company did something similar. Every year in August would would get a "cost of living" raise but we were told about a week ago that we wouldn't be getting one this year. It sucks not getting it, but at least I have a job.
--
"When the people find they can vote themselves money, that will herald the end of the republic. -- Benjamin Franklin"

KrK
Heavy Artillery For The Little Guy
Premium
join:2000-01-17
Tulsa, OK
·AT&T Yahoo
·AT&T DSL Service
·Cox HSI
·AT&T Southwest

Re: Thank God I don't work for AT&T

Record profits at my company this year.

No raise in 2 years. The year before that it was 3%. In fact they complain that wages are too high and continue to make cuts and increase workload. They all the time remind us how lucky we are to work for them.
--
"Fascism should more properly be called corporatism because it is the merger of state and corporate power." -- Benito Mussolini

lkviewguy

join:2004-02-13
Chicago, IL

Re: Thank God I don't work for AT&T

The company I worked for was spending cash like a drunken liberal for years, giving me 6% raises per year, paying hourly employees 3 quarters of a millions dollars in overtime for year 97 ( this is a small privately owned hotel/private club in Chicago with 200 employees. They final learned their lesson this year when they fired 70 employees and lost 150 out of 1200 within a 90 day period. Needless to say I am currently unemployed.

Oh yeah the 2008 China order was $789,000.00 just before I left.

lkviewguy

join:2004-02-13
Chicago, IL

Re: Thank God I don't work for AT&T

I meant year 2007 not 97, sorry.
jc100

join:2002-04-10

Well fired means someone did something wrong. What about those 150/2000? Laid off? Imagine you were in that subset. Either way, finding a new job isn't easy. As for a company spending money on it's employees, I don't see that as a negative. They paid you guys well. Kept many happy. Guess they could have spread the money out better, to keep you employed though. Either way, if you were smart, you took those EXTRA sums of money and saved them to live off of, in case of emergencies like now.

wakeup

@comcast.net


from:
hopeflicker See Profile
thumbs down from:
hopeflicker See Profile

"The company I worked for was spending cash like a drunken liberal for years"

I love the dumb partisan comment.

When are you partisan morons going to wake up, and realize that both major partys are filled with criminal millionaires on the dole, and that neither of them server the American People?
vinnie97

join:2003-12-05
Mesquite, TX

Re: Thank God I don't work for AT&T

Well, honestly, one can't be considered a true conservative if they spend in such a manner.
shashinka

join:2000-09-16
West Boylston, MA

Just look at what the house did with a majority of them democrats. They passed the most liberal spending policy in many decades. Actually all the republicans and 11 democrats voted against it. Now that they have a majority there is nothing to stop them. A majority of the programs, maybe 80-90%, is worthless junk.

marigolds
Gainfully employed, finally
Premium,MVM
join:2002-05-13
Saint Louis, MO

Re: Thank God I don't work for AT&T

If you define "most liberal" as "most expensive", it is not the most liberal spending policy in decades. It's not even the most expensive spending policy passed this decade.
shashinka

join:2000-09-16
West Boylston, MA

Re: Thank God I don't work for AT&T

I don't think so. »www.freedomworks.org/informed/is···%20here!

marigolds
Gainfully employed, finally
Premium,MVM
join:2002-05-13
Saint Louis, MO

Re: Thank God I don't work for AT&T

We've had spending bills over $1T a few times this decade.

marigolds
Gainfully employed, finally
Premium,MVM
join:2002-05-13
Saint Louis, MO

said by DoLeMiTe See Profile :

My company did something similar. Every year in August would would get a "cost of living" raise but we were told about a week ago that we wouldn't be getting one this year. It sucks not getting it, but at least I have a job.
On the bright side, we are currently experiencing deflation, so a cost of living adjustment would technically be a wage cut.
--
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abc976426

@mindspring.com
Freeze this year but double bonus next year

Eryk the dead

@cox.net

Re: Thank God I don't work for AT&T

Yeah, that's never happened. Last time they did this, they made our raised effective for the last 18 months the next time we got one. So basically 3 became 4.5. Ah well 40 hour work week from now on.

OSUGoose

join:2007-12-27
Columbus, OH
clubs:

BS

I'll believe that, when i dont see a price hike this year.

AT&T and doing the right thing just dont sound right.

Mizzat
Will post for thumbs
Premium
join:2003-05-03
Atlanta, GA
·AT&T Southeast

Re: BS

said by OSUGoose See Profile :

I'll believe that, when i dont see a price hike this year.

AT&T and doing the right thing just dont sound right.
Out of curiosity when is the last time you've seen a price hike other than the just launched Uverse?
SanJoseNerd
Premium
join:2002-07-24
San Jose, CA

Re: BS

I got a price hike on all three of my AT&T landlines just last month.

And on my AT&T cellphone a few months ago.

Mizzat
Will post for thumbs
Premium
join:2003-05-03
Atlanta, GA
·AT&T Southeast

Re: BS

A true price hike or did you change plans/contract expire, etc? I've never seen a price hike on my phone or DSL without a plan change. I change plans too often on my cell to keep track, but my rate never changed once I had a plan established for as long as I can remember.
SanJoseNerd
Premium
join:2002-07-24
San Jose, CA

Re: BS

True price hike. I didn't change anything.

en102
Canadian, eh?

join:2001-01-26
Valencia, CA

Re: BS

Price hike... or 'fee' hike

pnh102
Reptiles Are Cuddly And Pretty
Premium
join:2002-05-02
Mount Airy, MD
I've not had a recent rate hike in my AT&T Wireless plan either. Actually, because of significant cutbacks in features that I decided I did not need, my bill has gone down by quite a bit.
--
Blagojevich / Madoff 2012!

major marco
Res Firma Mitescere Nescit
Premium
join:2003-02-13
Stepford, CA
clubs:

BFD

Now instead of 24k gold toilets, the dickheads at the top will have to settle for 14k.

ninjatutle
Premium

join:2006-01-02
San Ramon, CA

Re: BFD

Where have you seen a 24K toilet in the US of A outside of Trump's residence?

major marco
Res Firma Mitescere Nescit
Premium
join:2003-02-13
Stepford, CA
clubs:

Re: BFD

said by ninjatutle See Profile :

Where have you seen a 24K toilet in the US of A outside of Trump's residence?
Actually, the question is where have you seen one? I deal with executive dickheads on a daily basis. It is fairly incomprehensible what their executive suites house. Notwithstanding the above, don't be so literal.

en102
Canadian, eh?

join:2001-01-26
Valencia, CA
·RoadRunner Cable
·DSL EXTREME

Re: BFD

with these paychecks... they can afford just about anything.
Look who was running Goldman Sachs in 2005

»abcnews.go.com/Business/Economy/···=5876413

CEO Cash Salary Stock, Other Pay Total Pay

2006 Henry Paulson $129,087,000 $34,900,000 $163,987,000

rockhounds_5
Premium
join:2004-07-29
Lewisville, TX
clubs:

Re: BFD

I didn't see at&t on the list. What are you talking about?
nitzan
Premium,VIP
join:2008-02-27

Re: BFD

»people.forbes.com/profile/randal···son/8130

Total Compensation $21,981,984.00

pnh102
Reptiles Are Cuddly And Pretty
Premium
join:2002-05-02
Mount Airy, MD
·Comcast

said by ninjatutle See Profile :

Where have you seen a 24K toilet in the US of A outside of Trump's residence?
No kidding. You think these petty little marxists would be overjoyed that these "evil" executives would not be getting any bonuses this year.
--
Blagojevich / Madoff 2012!

Wireless Joe

@sbcglobal.net

Re: BFD

said by pnh102 See Profile :

said by ninjatutle See Profile :

Where have you seen a 24K toilet in the US of A outside of Trump's residence?
No kidding. You think these petty little marxists would be overjoyed that these "evil" executives would not be getting any bonuses this year.
It's not the executives, it's "managers". I'm classified as a "manager", but I work in a cubicle doing business support and this will be the second year in a row I won't be getting a raise. And I use the common john with everyone else on my floor.

SLD
Premium
join:2002-04-17
24 thousand toilets?!?
whiteyonenh

join:2004-08-09
Keene, NH
clubs:
·RoadRunner Cable

Re: BFD

said by SLD See Profile :

24 thousand toilets?!?
ZOMG! Imagine the cleaning bill!!!
amdmaddness

join:2006-10-16
Greenville, SC

managers

Its not just managers its any non-union employee. at&t has two groups those who are union (non-managed group) and those who are managed are "managers". I am one of those non union folks not getting a pay raise this year. At least I hopefully get to keep my job. Nice to see our CEO who makes millions a year not take a bonus.. maybe he needs to take a pay cut to help the company?

See 9 replies to this post

Bentover

@sbcglobal.net

pi ssed off

Im the lowest level manager at the company. It really hurts us at my level because the truth is we are just grunt workers that do the dirty work to keep the company going (where the rubber meets the road). We get sh it from union workers and management, its the worst management level to have. These upper level managers and up are depending on the low life 1st level managers to keep the company going when the union members go on strike in April. Trust me the sh it we put up with to keep our jobs is unbearable.

Karl Bode
News Guy
join:2000-03-02

Re: pi ssed off

Ah middle management. I don't miss it.

Goober

join:2000-12-17
Naperville, IL

Re: pi ssed off

Gotta start somewhere.

OSUGoose

join:2007-12-27
Columbus, OH
clubs:
middle management, weeds out all the non fully devoted, drank the kool aid, and eagerly serves it to his minions. from the ones truly looking out for at&t
GhostDoggy

join:2005-05-11
Duluth, GA

said by Karl Bode See Profile :

Ah middle management. I don't miss it.
Read the poster's post again. He wasn't talking middle management. He's talking about lowest management, which many took pay cuts if they moved from craft to management.

P Ness
You'Ve Forgotten 9-11 Already
Premium
join:2001-08-29
Mineola, NY
clubs:

Wonderful...no raises..for people who make millions..

Yep they sure will be hurting.....poor them

they should all be taking massive pay cuts....and they should support the vast majority of their workforce.

dont they know the less they pay the average worker...the less that worker spends...the less he spends the less the economy that runs on conusmer spending gets....the less ATT gets...

its one vicious circle that these companies dont understand.
--
www.stopfcc.comI do not think the government needs to restrict free speech especially on a device that has an off knob.
GhostDoggy

join:2005-05-11
Duluth, GA

Re: Wonderful...no raises..for people who make millions..

Its what they are not saying that is more the point, which is that those in the trenches, both union and managers, are also not getting raises nor bonuses.
nasadude

join:2001-10-05
Rockville, MD

so...

the board has to approve him NOT taking his bonus?!

so I guess if the board considered he was an exceptional CEO, they could have "forced" him to take his bonus anyway?

Goober

join:2000-12-17
Naperville, IL

Re: so...

It's just the procedure that has to be followed. Most, if not all, publicly held companies are like that.

pnh102
Reptiles Are Cuddly And Pretty
Premium
join:2002-05-02
Mount Airy, MD
·Comcast

The Government Got What It Wished For

New York State is already whining that the lack of executive bonuses are costing them in state tax revenue.

»www.businessweek.com/ap/financia···HQ80.htm
--
Blagojevich / Madoff 2012!

rockhounds_5
Premium
join:2004-07-29
Lewisville, TX
clubs:
·Verizon FIOS

Just one of many sacrifices

In this context, keeping your job is your raise. The bonuses they have to pay out as the year was profitable for wireless and uverse. They've been giving up a lot of wireline subscribers, but have gained huge numbers of new customers in wireless.

This economy of ours is headed for some serious trouble. Some sacrifices will need to be made unfortunately. I've quite a few friends that have been laid off and there is nothing for them. Nothing.

I used to work in the oil business before going to IT, and we had a long stretch of time in the late 80's/early 90's when we got no raise. It sucked. We were told that at least we get to keep our jobs.

spg
Grrrr

join:2001-10-31
NOT Texas!

Re: Just one of many sacrifices

Same corporation my friend. Wireline gave wireless the seed money to start and subsidized them when they weren't profitable. And just where do you think those calls go once they reach the cell site? That's right, down the copper and fiber from wireline.

Also, some (definitely not all) of those wireline POTS losses were merely migration to Uuverse and Mobility. The number to watch is total lines served.

With no COLA, poorer healthcare benefits than craft and no pay raise this year means a pay cut. Yes it's hard to feel sorry for RS, and I do applaud his forgoing his bonus. But there are a lot of lower level management that are going to feel the pinch. And for people that manage crews... well don't be surprised when the low morale telegraphs to the crews.

It's going to be a long strike this year.
--
Life is hard. It's harder if you're stupid. - John Wayne

OSUGoose

join:2007-12-27
Columbus, OH
clubs:

Re: Just one of many sacrifices

and i'll be standing right next to u brother.

fatness
subtle
Janitor
join:2000-11-17
fishing
·EarthLink

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said by rockhounds_5 See Profile :

This economy of ours is headed for some serious trouble. Some sacrifices will need to be made unfortunately.
I'm not disagreeing with you, but sacrifices have been made for years. The wrong people have been making them, that's all. You can see that in this thread.
said by KrK See Profile :

Record profits at my company this year.

No raise in 2 years. The year before that it was 3%.
said by Skippy25 See Profile :

Yeah... how does that make you feel when you have a company that made $26 billion in profits last year not giving you the annual 3-4% raise?
said by fiber_man See Profile :

When your top level employees make more than 50-100 times your average worker then guess what you have?
said by techjoe See Profile :

No raises for all salaried and non-contract staff this year, decided after bonus were paid out so I hear, to the exec's and sales. But we hired 3 new execs in the past few months, complete with relocation and McMansions.

rockhounds_5
Premium
join:2004-07-29
Lewisville, TX
clubs:

Re: Just one of many sacrifices

You speak the truth. Thanks for pointing this out to me. I mourn for our country and its people.

fiber_man
Things Happen For A Reason
Premium
join:2001-01-27
Port Saint Lucie, FL
·AT&T U-Verse


1 edit

Their own fault.

When your top level employees make more than 50-100 times your average worker then guess what you have?

A lot of animosity, low morale, laziness, sloppy work, don't care attitude, etc..

If and when corporate America finally figures it out. It is the first line employees that deal with their customers and make or break that relationship with that company. Those employees should have the resources and support from management to help retain their customers and work of mouth advertising will provide new customers.

Many successful companies know this and follow those guide lines.

The middle class made this country strong and right now they are angry.
--
GO NOLES!!
kremithefrog

join:2008-06-27
Albany, GA
·AT&T Southeast

Re: Their own fault.

said by fiber_man See Profile :

When your top level employees make more than 50-100 times your average worker then guess what you have?

A lot of animosity, low morale, laziness, sloppy work, don't care attitude, etc..

If and when corporate America finally figures it out. It is the first line employees that deal with their customers and make or break that relationship with that company. Those employees should have the resources and support from management to help retain their customers and work of mouth advertising will provide new customers.

Many successful companies know this and follow those guide lines.

The middle class made this country strong and right now they are angry.
i was going to post something, but you said it better than i could. You nailed it on the head.
nitzan
Premium,VIP
join:2008-02-27

The ridiculous thing is...

Out of his $22 million(!!!) yearly compensation, Randall Stephenson's bonus amounts to only $650k. No sweat off his back, and it sounds good to the press. They'd still get our tax dollars though, because they can...
tmc8080

join:2004-04-24
Floral Park, NY

boggles the mind

how the ceos of companies that are not only devoid of morality and social justice but earn obscene compensation compared to ordinary line workers and while their industries foam at the mouth with corporate welfare all in the name of saving and or creating jobs. the silly loophole is that these jobs are NOT what you think they are.. they are NOT something to even consider yourself middle class on... these are poor house jobs with no job security, little to no benefits and if your lucky enough to have the job for 2-5 years, your laid off because you earn too much in raises to your salary or consume too much in benefits. companies DO rate your productivity as a worker, versus how much it costs them and then they make the decision to lay you off. this has been going on for generations. the only way the ceo should freeze compensation versus cutting.. is if they laid off not ONE SINGLE WORKER as a result of the downturn in the economy. otherwise it's fair game to cut ceo pay.

at least if many of these businesses go out of business then maybe change will come. let the shakeout begin.
seker2k

join:2002-04-14
Naperville, IL

Re: boggles the mind

Soon, most likely this year the US Government will go bankrupt.

We all know all the major banks are bankrupt.

It's time for change.

Not Democrat change or Republican change, cause the congress are just a bunch of millionaire, crooked criminals.

America needs real normal people in office to represent real people.

American's must purge these multinational large corporations, and prosper via small businesses, and a fair playing field.

We are not responsible for the governments and Big Businesses choices that screwed everything up, those that made the choices are responsible, and must be held accountable.

Then we must rebuild America based on the constitution, and small businesses, and sound money.

Kick the criminals, Federal Reserve and all into prison jump suits.
XNemesis

join:2002-11-16
Kitchener, ON

Re: boggles the mind

Soon, most likely this year the US Government will go bankrupt.

We all know all the major banks are bankrupt.

It's time for change.

Not Democrat change or Republican change, cause the congress are just a bunch of millionaire, crooked criminals

The Problem is that corruption doesn't look at just the wealthy and powerful. You put any normal person in a position of power and let time take it's course and you'll end up with that Normal person becoming the corrupt millionaire crooked criminals.

techjoe
Premium
join:2004-02-20
Schererville, IN

Bleh

No raises for all salaried and non-contract staff this year, decided after bonus were paid out so I hear, to the exec's and sales. But we hired 3 new execs in the past few months, complete with relocation and McMansions. Makes me sick.
--
Baka wa shinanakya naoranai

NetAdmin
CCNA

join:2008-05-22

Instead of bonuses

Instead of bonuses, management should be looking at ways to save the bottom line. Compared to the modest merit increases that that most salaried and hourly works get, bonuses aren't a small chunk of change. Unless these execs went on spending binges with their last bonuses, there should be plenty of money left over from last year. And when the economy improves and the cash flow into the company looks good, take the bonus then.

Delayed gratification, it is clearly a forgotten value in America.
--
"This is a bus. You know how big a bus is?"

Profess0

@comcast.net


from:
DivineDark See Profile

Just a game

The contract expires this year for all craft employees at ATT. This is just a game before bargaining begins to make everyone think that the upper echelon are going to suffer cutbacks. A small cutback compared to what the upper management makes. Therefore during the bargaining process the company can blame the economy and claim they are suffering thru cutbacks therefore all employees should help bare the burdon and settle for nothing in the contract. Even the lowest paid peons.

DivineDark

join:2001-08-30
Oklahoma City, OK
clubs:

Re: Just a game

Exactly what happen with district 6 bargaining. It makes me sick.

Tel

join:2001-10-12
Mauldin, SC
·AT&T Southeast

said by Profess0 :

The contract expires this year for all craft employees at ATT. This is just a game before bargaining begins to make everyone think that the upper echelon are going to suffer cutbacks. A small cutback compared to what the upper management makes. Therefore during the bargaining process the company can blame the economy and claim they are suffering thru cutbacks therefore all employees should help bare the burdon and settle for nothing in the contract. Even the lowest paid peons.
You hit it on the head and anyone with half a brain should be able to see the handwriting on the wall. The poor mouthing seems to start before every contract.

iHaveajob

@speakeasy.net

Thankful

McCaw/AT&T/AT&T Wireless/Cingular/AT&T Mobility has paid my bonus at 100%-150% for the last 14 years and I've received a pay raise around 3% (+/- .5%) every year. Not to mention several spot bonuses back in the day. The company pays well and compensates their managers fairly. For those who think there are 14k gold toilets lying around the office - the better question is when will we get our filtered water and plastic utensils back?
alchav

join:2002-05-17
Palm Desert, CA
·Pacific Bell - SBC

AT&T is doing the right thing, but............

Delaying U-Verse for a year is a mistake. Their VDSL is almost obsolete, and the longer they wait the deeper in the hole they go. This is the only money maker they have right now, so this does not make any sense to me.

As for Freezing Executive Compensation and cutting back on Employees, and no raises, that is inevitable in this Economy. I'm retired from PacBell and was on both sides as an Employee and Manager. I know a Company is made up from the people that work there, but the Attitude and Work Ethic comes from Upper Management. I came to Love and have Enviable Pride working at Pacific Bell. So the best advise I can give anyone is to find work you love to do and this will make you excel and do the best job you can. A good Company will reward you for this and you can advance to the position and compensation you want. If you are not getting this then leave that Company and look for one that does, Life is too short to be miserable.

spg
Grrrr

join:2001-10-31
NOT Texas!

Re: AT&T is doing the right thing, but............

I too hired on with Pacific Telephone and all I can tell you is that I only wish it was still Pacific Bell. When SBC bought us (it was no merger) things went downhill fast. Thank you Phil Quigley.

I'm in too deep, have to tough it out to retirement. Thankfully it's this year.

You and I started when above all else, customer service mattered. I can't blame it all on company culture as I'm sure deregulation played a major part, but customer service is definitely not our first objective. Now we make value judgements.
--
Life is hard. It's harder if you're stupid. - John Wayne

Randall_Lies

@sbcglobal.net

Randy, what a charade

According with Forbes, Randall's bonus is about 2% of his total compensation, while restricted stock awards are upwards of 8 Million. Not to mention his "other" compensation from serving on the boards of (his friends) other companies..... Guy is full of tricks, no doubt. Screw the worker bees, he is just fine.
Check it out, google Randall Stephenson compensation.
BTW, wonder why he is allowed to serve on other boards and T's employees can't even dream about moonlighting on the same field they work in.

jpnv

@sbcglobal.net

What a morale booster...

Here's another thought. Randall and the board decided that officers and managers would not get a raise this year. There was no mention in the email from Randy that the board members were going to not accept their retainers. That's $60,000 paid to each member to "sit" on the board. Now craft isn't getting a bonus this year nor a pay raise. I'm waiting for the email so I can break it to my crew. And as far as a strike goes, I highly doubt CWA will do it in this climate.

ATT Ann

@sbcglobal.net

AT&T Manangement Freeze

I work for AT&T and am one of the managers who will not be getting a raise this year. It all sounds very commendable that Randall Stephenson is not going to take a bonus this year (last year his bonus was $4.5 Million) until you learn that the day before this announcement was made he was given 320,900 shares of stock as a stock bonus. Which at $25.15 per share comes to a value of $8,070,635. Somehow his gesture loses it's effectiveness
This is a slap in the face for lower level managers who have had benefits reduced or taken away every year.
Yes times are tough.......at least for some of us.
Go to "cnn.com" , then under the "markets section" type 'T' for AT&T. Then click "INSIDER ACTIONS" in the left column. Now pick a name any name, and enjoy the facts... This is a good way to check other corporations also.

Bentover

@sbc.com

Re: AT&T Manangement Freeze

Ann, I am a lowly first line too, I would never took a 'promotion' if I knew the highest paid tech makes more than me and has better benefits. I have to say when it was just SWBT it was better now I hate ATT and stay only for the check. Yes Randal and the officers got thousnads of shares on 1/29 and made millions onlt to send out the letter on 1/30 to the rest of the management that we get nothing. I never thought I could hate this company but since Randal has been in charge I despise this place. Once I can leave Im going too, there is no benefit of being a 1st level manager anymore.
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