Tuesday, February 24, 2009

Greed Isn't Just for Wall Street

Update 2-25: Looks like Tierney and others felt the heat and decided to roll back their raises
As The Philadelphia Inquirer and Daily News were headed toward bankruptcy, Brian Tierney, CEO of the newspapers' parent company, gave himself a big raise.
Forbes: Documents filed Sunday by Philadelphia Newspapers LLC and seven affiliates said that the pay of Tierney, a public relations executive who put together the investment group that bought the paper from McClatchy (nyse: MNI - news - people ) in June 2006 for $562 million, was boosted just two months ago by 38% to $850,000.

But an affidavit by Richard R. Thayer, executive vice president, finance, said the company was still saving money because Tierney "without an increase in compensation" became publisher of both papers in the fall of 2006 after the $565,000-a-year incumbent resigned. Even though Tierney in January 2008 demanded a 10% cost concession from workers, his own pay was bumped up 3% in May 2008 to $618,000. Then came the big boost around Christmas. Read more