In a filing with the U.S. Securities and Exchange Commission, GM has disclosed that it is paying Vice Chairman of corporate strategy and business development Steven Girsky approximately $5 million per year.
Approximately 90 percent of Mr. Girsky’s salary will be made up of stocks, with $500,000 a year in base pay.
GM has also name Patricia Russo, a member of the company’s board since July 2009, as lead independent director.
The GM Authority Take
Now before all the fans of the term Government Motors begin shouting obscenities at The General and/or the Federal Government, let’s get one thing perfectly clear: as long as most of the pay comes in the form of stocks, it is not the end of the world! In fact, stocks (and stock options) serve as an incentive for employees to work harder to reach common organizational goals. So let’s call this what it really is – a non-starter.[Source: Reuters]