Chrysler Will No Longer Award Retention Bonuses
19 März 2009 - 7:01PM
Dow Jones News
Chrysler LLC confirmed Thursday that it will no longer pay
retention bonuses as part of the cost-concessions needed to secure
more funding from the U.S. Department of Treasury.
"No new retention payments or any other form of bonus, will be
awarded after Jan. 2, 2009 as a result of the waivers signed by the
company's top 25 executives," Chrysler said in a statement on its
Web site. "We continue to work with the U.S. Treasury on a daily
basis."
Chrysler and General Motors Corp. (GM) are racing to secure new
cost cuts from its executives, suppliers, unions and dealers in
order to receive additional low-interest loans to avoid bankruptcy.
Details on the company's progress in winning these cost-concessions
must be submitted by March 31. Chrysler is working to obtain
another $5 billion in funding after already $4 billion earlier this
year.
-By Jeff Bennett, Dow Jones Newswires;
jeff.bennett@dowjones.com; 248-204-5542