BBC NEWS | Business | KPN cuts chairman's pay
Dutch telecoms group KPN has cut the pay of its top executives in the hope of smoothing talks with its unions.
The firm said its chairman will give up a bonus package worth up to 11m euros ($12.8m; £7.6m).
The unions had threatened to take the company to court, saying that big pay deals for bosses were unfair when costs were being cut and staff laid off to cope with the firm's heavy debts.
KPN said it would put the money saved towards funding new broadband projects...
...The ADVAKABO union, which had threatened the court case, had described the severance pay for both Mr Scheepbouwer and his fellow boardmembers as "a golden handshake for failure"...
See my previous post regarding Barclay Knapp, the current cycle of blood letting at ntl and the above article about KPN in the Netherlands. I don't know enough about this Dutch company to pass comment on its situation however it does strike me in marked contrast to ntl. The GOLDEN HANDSHAKE FOR FAILURE clause being particularly poignant.
Posted by Paul Goodison at October 20, 2003 10:55 PM | TrackBack