FlyerTalk Forums - View Single Post - Doug Parker now taking his salary as stock (consolidated)
Old Apr 23, 2015 | 9:58 am
  #10  
PHL
FlyerTalk Evangelist
20 Countries Visited
1M
All eyes on you!
25 Years on Site
 
Join Date: Dec 2000
Location: PHL
Programs: AA PLT, UA SLV, MR LTT, HH LTD
Posts: 10,716
Originally Posted by uxb
I actually think that this move is bad for flyers because Dougie will be more inclined to act in a manner that satisfies investors over that of employees and the AA customers. He will obviously see a huge short-term gain as he reduces headcount from 100k to 80k, but then he will have to implement draconian Smisek-like enhancements to satisfy the earnings-hungry shareholders.
Well, this is the CEO's number one job - to create shareholder value. Employees and customers be damned! Gordon Bethune and Herb Kelleher took a different approach and put employees first, which had a positive trickle down effect to the customers and - eventually - shareholders.

That being said, Doug learned some good lessons after the HP-US merger about the perils of jumping over quarters to save pennies. Hopefully he hasn't forgotten how to create shareholder value and continue to operate the airline with decent performance/service stats, which should lead to happy customers and employees.
PHL is online now