GM stepping up to the plate?
In a GM article I read today, I was honestly surprised to see that in addition to some other measures, GM was attempting to save costs by reducing dividends, and lowering their top execs' salaries. I am pleased to see that the BOD recognizes how crucial it is that they take some action. I found this topic to be interesting because the same issue came up in one of my classes the other day, and it struck me as odd that GM had not done more to try to salvage their company. Also, while shrinking top level salary is generally not at the top of managers' priority lists, it shows that the BOD are acting in the best interest of the GM company and its shareholders at large, rather than acting in the best interest of a minority group of top managers. While it remains to be seen whether these actions will make a dent in GM's financial woes, it does set a high profile example of what companies should do when they must nurse their bottom line back to health.