Now, it’s Dr.Pepper Snapple group CEO Larry Young rakes in $6.5 million annually but thinks his workers at the Mott’s applesauce plant in Williamson, NY earn too much. He’s cutting them to $20K per year. These are skilled laborers, but never mind that. Without even doing the math on the disparity between corporate salary and worker ($6,480,000 disparity, by the way), cutting workers back to under $10 an hour puts them below the poverty level. Oh CEO Larry Young and his cronies want to freeze pensions and health care, too. And how many actual dollars will this save Mott’s? Not much. What makes the difference between financial solvency and financial ruin to individual workers, saves corporate barons only about $11,000 per year. That will barely cover the cost of CEO the three martinis at lunch. When union officials at Mott’s suggested that perhaps corporate salaries in the millions might be a better place to look for cuts, Dr.Pepper Snapple Senior VP Robert Callahan retorted that
‘Executive pay is completely irrelevant to the discussion.[sic]’
Irrelevant, Bob? Really? Let’s set aside what cuts like you are making will mean to the lives and families or workers. Clearly you couldn’t care less about your employees who have made you your $555 million annual profit, anyway. So let’s talk what you do understand. Profit. Let’s look at your proposed cuts from your point of vies. You are looking to cut costs. Does it take a Wall Street analyst to point out that you save thousands by whacking union worker salaries, but you could save hundreds of thousands and even millions by cutting executive salaries? Pardon the pun, Bob, but it’s like comparing apples to oranges.
And does it further not occur to you that by reducing salaries, pensions and health care benefits of workers, you put a bigger drain on welfare resources as these workers are forced to seek government assistance to care for their families? Well, don’t worry too much about that, Bob and Lar, they won’t likely qualify for government assistance as they are ’employed’. But your workers certainly won’t be able to keep up that GNP. You can’t keep the economy afloat when you haven’t got the money.
And what does Dr.Pepper Snapple group CEOs plan to do with said savings and cut backs? Northeastern University economist Andrew Sum says Mott’s, like most U.S. corporations, is keeping the profit.
“It’s not been reinvested in new capital equipment.It’s not been used to help purchase new technology.So, this is the first time that we have ever had where basically all the gains in income went simply to corporate profits.”
‘An injury to one is a injury to all’ is an old labor union slogan. Multiply what Mott’s is doing, by just about every manufacturer in the US and you will have an idea of how the cancer of corporate greed spreads. If this bothers you, boycott the products made by Mott’s:
Mott’s Apple Sauce
Mr. and Mrs. T Products
Rose’s Lime Juice
Mott’s Garden Cocktail
ReaLemon / ReaLime