While the median pay is ~$100k for ~100k employees. 5% of total pay covers the dividend. Simple and elegant math.
8 replies (most recent on top)
OP is working in finance and think Intel is okay
@1qrg+1kZWQcxP, investors buying or selling stock has no impact on revenue or profits. The only reason the company cares about the stock price is that the top employees primary source of compensation is based on stock. Investors add no value to companies they are just making gambles on which direction the stock price will go. Most investors couldn't give a sh-- less what happens to the company as long as they make money.
(Hint) salary is for employees that create output and company profits. Profit goes to investors, not employees. Investors risk their capital, it isn't yours.
So, this d-mb idea that somehow you could keep your pay or your 'rewards' by taking dividends from investors is really just naive drivel.
@dtf...try to learn the definition of 'fascism'. Pat is a mo--n, not a fascist.
5% cut on 100,000 employees at $100k/yr average is indeed $500M/yr. Dividend is about $6b/yr, so the pay cuts will pay for about 1 month of dividends. other 11 months?
Consider the alternative:
Intel cuts the dividend, stock drops to low 20s or worse.
Then vultures like crl ichn will buy a stake, get on the board, break up the company and Intel is done.
The vultures just want their quick profit.
Cutting the dividend will attract the attention of these type of degenerate vultures.
In a capitalistic economy there is no incentive to overbuild capacity to the extreme that is being done at Intel. So why is that being done? CHIPs money. And that is called fascism.
everyone will roast me but in a capitalist economy companies are not obligated to distribute the profit to their employees. Also companies will first cut the highest expense on their balance sheets as wages in an economic downturn..