Wednesday, November 19, 2008

Nardelli says he’ll accept a $1 annual salary

While Bob Nardelli certainly isn’t anywhere close to the turnaround man for Chrysler as Lee Iacocca was, he is offering to follow in his footsteps if it helps Chrysler get a $7 billion of the $25 billion automaker rescue package. In a response to Senator Jon Tester, D-Mont., Nardelli said that he would accept $1 per year in salary if it that’s what it took for Chrysler to get aid.
A similar sacrifice was made by Iacocca in 1979 which helped Chrysler get a $1.5 billion loan guarantee.

According to Automotive News, GM’s Rick Wagoner said that he would cut his salary by 50 percent while FoMoCo’s CEO Alan Mulally said that he was concerned that cutting bonuses and compensation may cause Ford to lose top executives. Mulally earned $21 million last year.

We’re still wondering if Chrysler is going to go ahead and hand out $30 million to keep top execs with the automaker.

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