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A little humor about prudentinvestor's comment regarding ineffective workers and Fed Ex making pay cuts at the top.
Dec 19 00:44 am
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All Comments by John Lounsbury »How Sticky Are Wages? [View article]
Dead wood at elevations above ground in the woods is referred to as a "widow maker" because it kills when falling to the ground. Perhaps Fed Ex should consider personel cuts at the top instead of or along with pay cuts. Are there possibly any "widow makers" at Fed Ex?
Now, a serious comment. A problem that any company has with pay cuts is that their most talented personnel may be coveted by another company. Across the board pay cuts run the risk of causing the best talent to leave for greener pastures and the ineffective and less effective personnel to hang on. I have been through these decisions in my corporate management days, and the best way to handle this is never obvious.