One thing nobody is talking about is Ryan and the executive teams focus on buying back stock and increasing dividend. But at what cost does this come? Instead of focusing on your executive compensation goals and keeping Wall Street greed happy, how about you invest in your own employees and give them their merit raises and promotions. Going on two years now without both merit and promotions does significant damage to employees 401, VCIP and pension. These are years of missed money that the company will not make up for when times are good. If you make 75K and have missed one promotion and two- possibly going on three merit raises, then you have missed out on 30% more money. Why should the employees continue to bear the burden because Ryan and his team can't forecast and make the necessary cuts needed when oil went down. From sources within the company this is why they have seen a lot of turnover and you are seeing young people leave for other opportunities. Lastly, what is COP's value proposition to new college graduates? Don't have one because they have failed to follow through on all promises.
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What the f is he doing in Norway? I am sure he didn't, fly coach. Taking the Gulf Stream jet probably cost the company 40,000. Stay in Houston and manage the company. He needs to right size cop quickly and he needs to make big cuts in personnel too many layers of bs managers and team leads that know crap. Glad I dumped all the stock in the 70's range
My biggest complaint is the ELT getting pay raises while everyone else has to live with no raises for at least two years. I understand base ELT salary is not the majority of their compensation, but at the very least, freeze their base pay as well. The optics just look horrible and really exhibits that they don't care. If I was on my way out, I would be at the Town Hall mic askin them to defend this.
Lance said in his Canada town hall last week that the company would love to buy back shares at these low prices but has no money to do it. Ooops.
Great points made. The infamous EOI will be interesting. I'd be willing to bet my 401K that the usual double standard will be seen. CFO Wallette sent email to managers below him saying "we will not give EOI to people about to retire.." Essentially stating we won't pay them to leave. However, I bet that a lot of managers and long serving people close to management will get an EOI and others who don't play the political bullshit games won't. Typical corporate double standard
The company strategy is questionable. As an outsider.. I would always want my company taking care of me ... Especially when it means thinking of them first over the considerations of stock buyback and dividend increases. It's honestly morally and ethically sad.
Completely agree with the executive greed. They are fine with continuing to save money by not offering salary increases to employees, as long as the VCIP doesn't take too much of a hit. Despite the fact that they get enormous salaries, most of their compensation comes in the form of stock and VCIP. They aren't able to keep the stock value up, but that's ok for them for now since it means they get more shares (gives the opportunity to "buy" low and hope to sell high down the line). VCIP is within their control to decide on keeping fatter payouts (just as they did this year and last) which benefits them. No salary adjustment is of the least personal consequence to them, but saves the company huge dollars for years to come. Never mind that it hurts employees tremendously, it's genius right? Don't get me wrong, I agree that in this economy, salary increases should not be given, but the ELT has got to take a big compensation hit too. If you are going to dole out pain, you've got to take it too.
You said it very well. Big company greed. The best is Ryans comment yesterday when he said "ConocoPhillips expects this downturn to last into 2017." Well no sh--. It takes a guy who makes 20+ millions, takes pictures of park openings, and who has communications personnel write his emails to think of this? Crazy I know. Also, for the employees sake.. Stop scripting questions and answers during town hall events and let employees openly ask questions and be ready to face the heat of answering them.
They need to start the cuts in Fartlesville with middle management. They do absolutely nothing, but micromanage employees about work that a 18 year old could do. So many people there lack motivation, work ethic, brains, talent. The biggest of all they are complacent!!! Conoco cannot grow with complacent employees that boast to everyone in the town that they work for the "prestigious" conocophillips and add very little value to the company!
Couldn't agree more. COP is not valuing its employees. I take that back... Ryan and the executives aren't valuing its employees. They have also failed to manage this company during this downturn. classic case of greed on their part. I'd hate for our stock to not be ahead of its peers and have Ryan miss out on millions in options. But he doesn't care about the mid level or low level employees. A CEO and mix up of executives wouldn't hurt