Although Colgate shut 24 of its 112 factories and eliminated more than 3,000 jobs when it went through a restructuring less than a decade ago, analysts said that many of its existing plants in the United States were old, unionized, and did not have the manufacturing- line efficiency of rivals.That's one way to bust a union, I guess.
Top earners need not fear the axe: no senior management staff positions will be eliminated. It does seem like a pretty good life for senior staff, 800 of whom get allowances ranging from $2000 to $11,500 a year for things like opera tickets, yoga, and dog sitting. AP has that story including information on the company's top execs:
The company had $9.9 billion in sales last year and paid its top five executives $23.3 million in cash and stock, plus another $9.1 million in stock options. The company's highest paid executive, chairman and CEO Reuben Mark, made $10.4 million in salary, bonus and stock awards.
Market reaction to the restructuring announcement? Stocks rose.