Nucor Corp sharing the pain

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Charlotte based steel manufacturer cuts pay of ALL employees as an alternative to downsizing.
This gives employees at a ALL levels an incentive to keep the train on the tracks.
I like this idea in addition to some of their other business practices.

Article: Nucor Corporation - Sharing the pain of hard economic times

It will still hit the lower-paid employees harder, as they had less disposable income to begin with. "Share the pain" always means a little twinge for those at the top, and a sledgehammer to the back for those at the bottom.

Obviously so but I'd say it's better than the usual way of mass layoffs while upper management gets bonuses or if they do get laid off it's with what we call a "golden parachute".
At least this way everyone stays on the payroll for better or worse.

As opposed to being out of a job and becoming a burden to tax payers. Half a loaf is better than none.

ruveyn

Those workers have probably been paying into unemployment for years. They ARE the taxpayers.

This may sound altruistic, but my experience tells me they should have just said, "Bend Over!"

Did any one watch "show me your money" last night it was kinda like this,

Just curious, from a leftist perspective; what should Nucor have done?

Very few of those receiving unemployment benefits on a long term basis paid anywhere near what they took out of the system. Unemployment insurance (as opposed to a steady dole) is predicated on the assumption that the worker let go from his job will find other employment within a half years. The 26 week limit has been extended to 99 weeks (nearly two years) and is on the verge of bankrupting the insurance system. What we are approaching is a steady state dole which will require a much different mode of financing than unemployment -insurance- paid for by the workers.


ruveyn

Correct me if I'm wrong but I'm getting the feeling that some of you think it would be better to be laid off (for who knows how long) than to temporarily earn less.
Here we have big business doing something noble and it's still not good enough?

i agree its quite a lot better than the alternative.

i also think they could have skewed the earnings slightly upwards, not to the point where some wont receive less, but there are some bonuses and steady rate payments that are excessive.

This is a great idea. Finally reading good news for once. Besides of being the least awful alternative, it should also be great for the company as it can keep its size and have more hopes of restoring itself.