John Deere strike imminent?

[Sigmapolis]

maybe ceos dont make 90000000000X workers?

Corporate profits as a share of GDP since the 1940s to present --



https://fred.stlouisfed.org/graph/?g=1Pik

Looks bad, right? Ranged between 4% and 9% for most of the postwar era until the 2000s?

CEOs screwing their workers?

Well, not really.

That jump into the 10% to 11% range is directly related to the rise of the tech mega-giants. Apple, Google, Microsoft, Facebook, Amazon, and Cisco being the most important ones of them.

Adjust out the profits of those sectors (and if you want to complain about greed, profit, and rapaciousness in the economy, you need to look first and only to the tech sector... some of those companies throw off 25% profit margins, which is absurd compared to any other sector), then the rest of the economy's share of corporate profits are in line with historical norms (or even a little down from past decades).

Thing is, Google and Apple employees are some of the best-paid workers in the economy. Up to you if you think a tech executive paying a coder $250,000 per year is "exploitative," but I would imagine you were probably thinking of workers would couldn't be able to afford a $1 MM home in an attractive area.

 

[MeowingCows]

If everything was manufactured in the US, you would not like the price point of new cars and products...

Well that, and basically nobody in the US manufacturers "chips"/electronic hardware here anyway. Practically all done in various Asian countries, and starting up fabs is extremely expensive.

 

[bozclone]

Cause they had a pension and JD paid for your healthcare after retirement.

Not many companies do that anymore. Many UAW jobs offer a solid wage, lots of OT, a pension, a 401K, little or no health care costs during employment, early retirement, paid or very low cost health care after retirement. In a lot of cases, it is hard work but it offers a built in plan for retirement. It creates an issue for companies though because people are drawing retirement benefits for 30-40 years in some cases.

 

[dmclone]

The John Deere CEO made 15 million last year
John Deere has 70,000 workers
If you paid the CEO $0/year, those workers would receive a 10 cent/hour raise and have a very ****** CEO

 

[Dr.bannedman]

Corporate profits as a share of GDP since the 1940s to present --

View attachment 90775

https://fred.stlouisfed.org/graph/?g=1Pik

Looks bad, right? Ranged between 4% and 9% for most of the postwar era until the 2000s?

CEOs screwing their workers?

Well, not really.

That jump into the 10% to 11% range is directly related to the rise of the tech mega-giants. Apple, Google, Microsoft, Facebook, Amazon, and Cisco being the most important ones of them.

Adjust out the profits of those sectors (and if you want to complain about greed, profit, and rapaciousness in the economy, you need to look first and only to the tech sector... some of those companies throw off 25% profit margins, which is absurd compared to any other sector), then the rest of the economy's share of corporate profits are in line with historical norms (or even a little down from past decades).

Thing is, Google and Apple employees are some of the best-paid workers in the economy. Up to you if you think a tech executive paying a coder $250,000 per year is "exploitative," but I would imagine you were probably thinking of workers would couldn't be able to afford a $1 MM home in an attractive area.

 

[bozclone]

Well that, and basically nobody in the US manufacturers "chips"/electronic hardware here anyway. Practically all done in various Asian countries, and starting up fabs is extremely expensive.

The startup costs aren't expensive when compared to what the shortage is costing the auto industry. Some assembly plants have been shut down for many months at a time and almost all are experiencing some shut downs. It is crazy, I have never seen anything like it. I don't know if it is still the case or not, but the UAW contracts used to pay workers even if the plants were shut down. I believe it was a partial wage, but still significant.

 

[mramseyISU]

The John Deere CEO made 15 million last year
John Deere has 70,000 workers
If you paid the CEO $0/year, those workers would receive a 10 cent/hour raise and have a very ****** CEO

Even if you split that up across the 10,000 workers the UAW represents it's like a 70 cent an our raise for them. CEOs make too much money sure, but people need to stop pretending their salary is the reason the little guy is getting the shaft.

 

[Tri4Cy]

The John Deere CEO made 15 million last year
John Deere has 70,000 workers
If you paid the CEO $0/year, those workers would receive a 10 cent/hour raise and have a very ****** CEO

and over $9,000,000 of that was stock/options. So a significant portion of CEO pay is based on the performance of the company they run. Their incentive, is to drive stock prices up. Anyone here have a pension or 401k?

 

[Cycsk]

Actually what the majority of farmers are asking for is the diagnostics. That's it. We want to be able to pull up the codes see what is wrong in order to get he right part to fix it. It's ridiculous when we have some sensor that requires us to make a call to the local dealer to have them come out paying $250 service call plus time plus mileage plus use of equipment to tell us a simple sensor is the issue. I'm perfectly capable of hooking up a cable and reading.

Honest question. What does farmers wanting diagnostics have to do with workers striking?

 

[ISUCyclones2015]

Honest question. What does farmers wanting diagnostics have to do with workers striking?

It was at the bottom of the article I posted. I tried to go for a neutral site but it is from a technology website so they stuck it in there at the end

 

[2forISU]

Not many companies do that anymore. Many UAW jobs offer a solid wage, lots of OT, a pension, a 401K, little or no health care costs during employment, early retirement, paid or very low cost health care after retirement. In a lot of cases, it is hard work but it offers a built in plan for retirement. It creates an issue for companies though because people are drawing retirement benefits for 30-40 years in some cases.

Pensions were/are not sustainable. Look no further then city, state and federal employees.

 

[BoxsterCy]

Yeah, wouldn’t impact used car market at all.

True, prior to this spring every month or so I was getting an offer via email or paper mail offering me a pittance for my car in trade-in. "Mr. Boxster, we can give you 75 cents as a trade-in value and put you into a brand new 2022 for only $45K!"

Now they are sending me offers to buy the car they undervalued in all of their weak trade-in offers The offer went up $2000 since July and this is for a generally "undesirable" two door coupe in a market where everybody wants an SUV. They know the car since they service it and probably like the 27K miles and spotless condition (only driven to the grocery and liquor store).

 

[isufbcurt]

Pensions were/are not sustainable. Look no further then city, state and federal employees.

They are. They just have to managed and hedged correctly. There are a couple large companies in Des Moines proving that as we speak. They are buying these pension funds and making a killing on them in excess of what the liabilities are.

 

[CloneJD]

They are. They just have to managed and hedged correctly. There are a couple large companies in Des Moines proving that as we speak. They are buying these pension funds and making a killing on them in excess of what the liabilities are.

Yes, pensions are clearly the future of employee benefits.

 

[Tre4ISU]

The John Deere CEO made 15 million last year
John Deere has 70,000 workers
If you paid the CEO $0/year, those workers would receive a 10 cent/hour raise and have a very ****** CEO

Someone thinks math is dumb. 15 million to be the head of a corporation that size doesn't really seem unreasonable to me.

 

[Tre4ISU]

Fine by me. I only buy used vehicles anyways.

How's that looking right now?

 

[Urbandale2013]

The John Deere CEO made 15 million last year
John Deere has 70,000 workers
If you paid the CEO $0/year, those workers would receive a 10 cent/hour raise and have a very ****** CEO

This remains the absolute dumbest argument people can make. Nobody says the CEO should make nothing. The other part is you are ignoring all the other executives that also make to much money.

CEO compensation has grown 940% since 1978: Typical worker compensation has risen only 12% during that time

The latest report in EPI’s annual series analyzing current and long-term trends in CEO compensation.

www.epi.org

Executives deserve to be compensated well based on the stress and challenges they have to deal with. What they don’t need is as much as they get.

and over $9,000,000 of that was stock/options. So a significant portion of CEO pay is based on the performance of the company they run. Their incentive, is to drive stock prices up. Anyone here have a pension or 401k?

This is the problem with how all companies are run in this day and age. Executives are incentivized to increase the value of their stock price not the value of their company. Businesses are short sighted to only what is best for the next quarter instead of the next 5 years.

It probably isn’t as big of a deal directly with John Deere but when companies cut pay their workers can no longer afford their products which leads them to cutting costs and a vicious cycle until the company fails. I was just watching a documentary on the history channel and you saw that with Ford. When they started out they paid workers more than others so that the workers could afford a car. Then once they started cutting costs the workers couldn’t afford the cars and the company lost profitability.

 

[Tre4ISU]

China isn't as cheep as it was. Transportation issues and costs are a big issue right now. This along with the chip shortage is killing the auto industry.

China is also going to get worse. This country better figure out how to get their manufacturing and supply chains much closer. Whether that means US made or SA made doesn't really matter. What matters is you get some of this stuff off the water and on the ground so China or any other country can sabotage maritime transportation as they have been for quite some time. Of course, that would also include going to the table with places like Malaysia to acquire the raw goods. This should be one of the top items being addressed by congress but they're too worried about bickering about inconsequential **** to get it figured out.

 

[HFCS]

I thought we just got done trickling down? What happened?

 

[ISU22CY]

Honest question. What does farmers wanting diagnostics have to do with workers striking?

It was a reply to an earlier post