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The first story this morning is about Warren Spector, who was fired from Bear Stearns (BSC) last summer in the first inkling of where we all were headed. As CNN Money reports this morning:

The former Bear Stearns co-president was one of the first heads to roll in the credit crisis when he was ousted last August. But being fired could have saved Spector’s fortune. As part of his resignation (a move suggested by then-boss Jimmy Cayne), Spector was forced to vest most of his stock options and restricted stock by December 28, 2007, when the shares closed at $87.35. That amounted to a little more than a million shares, according to the bank’s 2007 proxy statement, which would have been worth about $91.1 million.

Warren Spector gets fired. Ends up with $91 million. Even after taxes you’d have to say that was a nice payday.

Story #2: This morning the cafeteria workers who labor in the neighborhood lunchrooms are demonstrating outside a local building. Their employer has been resisting their demands for higher wages and benefits for quite some time, and they’ve taken their noisy, raucous drumbeat to a number of different locations recently. I walked by them just now. They don’t have a very good flyer. None of the issues are recounted in it. Just a large message in red: FOR OUR FAMILIES.

The corporations whose lunchrooms are served by this Union rear high above the street around here, each home to any number of guys who will get more when they are fired than the entire group now out on the street will earn in six lifetimes.

Of course, everybody suffers in a tough economy. Spector, for instance, was probably forced to leave a lot of long-term compensation on the table. I’m sure that rankles him in the dim hours before morning, when he thinks about what he might need to do in the future. For his family, you know.




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Many working people have been suffering for eight years at least, now it is going to get a little worse.

The Bush-Wall Street plan to depress blue collar wages and crush unions has been working very well.

So what is new?

Posted By Tom CPA, Lansing Michigan : March 27, 2008 9:54 am

we are truly unable to relate. the rich are different.

Posted By joe st. cloud miinnesota : March 27, 2008 9:54 am

I really feel bad (tongue firmly planted in cheek) for Mr. Spector and his family. I’m sure they will have a very rough time in this economy on that $91 million before taxes.

Posted By Bill, Oviedo, FL : March 27, 2008 9:57 am

Sort of reminds you of something from the twenties?

Posted By Anonymous : March 27, 2008 10:39 am

I believe in the old saying “when the spread between rich and poor becomes too great your asking for trouble”. These “fatcats” have a sense of entitlement, like they deserve to be rich. Just remember, things can turn really ugly quickly. The poor have little to lose in these situation, and the rich can be the target. My suggestion, lets try to be kinder to our fellow man. No one is better than anyone else, and I think this is something the Wall Street types have to learn before they become the target of the hungry and poor.

Posted By Troy, San Francisco : March 27, 2008 10:53 am

blue collar unions have been crushing themselves quite nicely for the past 50 years without any help from Bush or Wall Street. That’s why we have so many former-yankees living in places like NC now. Industry has moved to where labor laws and costs are sensible and competitive.

Posted By Tom CPA, Cape Fear : March 27, 2008 1:22 pm

Joe Stalin would have had the answer for those that have power and fail to deliver. 91 million for being a loser. How many small people jobs is that.

Posted By Jack Hammond Canada : March 27, 2008 2:26 pm

Those cafeteria workers are not smart people.

If they were smart, they would not be protesting. If they actually did care about their families, they would not be cafeteria workers. These workers have no vested interest in success. They are wasting time fighting for crumbs. If they had any sense, they would be trying to get the cake for themselves. This is exactly what the people they serve are doing.

I just do not believe that working a crummy job makes a person better or worse than another. But I do believe that if a job sucks, a person should do whatever it takes to get a better job. If the workers had their wages tripled and the big shots had their wages reduced by a third, the workers would still complain.

Posted By Yadgyu, Harkeyville, TX : March 27, 2008 3:50 pm

By the way, just in case anybody has any doubt? I always value the smart, unfeeling, thoroughly anti-humanist views the Yadgyu shares with the gang in his own articulate and inimitable style, but I don’t want anybody to think I agree with any of them. Sometimes he’s outrageous. Always capable of generating plenty of discussion. But right? I never really think so.

My heart is with those cafeteria workers. My ancestors not too many generations ago were more like them than they were like the average business types I see every day. My grandfather ran a chop shop in Hell’s Kitchen. My other grandparents ran a candy store in upper Manhattan. My relatives were cab drivers, garment workers. My grandmother, in fact, worked in the Triangle Shirtwaist Factory. She quit because they wouldn’t let her go to the bathroom. The next month they had a fire. The girls were chained to their sewing machines. There were no fire escapes. Look it up for a little color.

So when I see a line of mostly new Americans trying to get a dollar an hour more, or to get benefits from what’s probably their second or third jobs, I get a tug right in my mid-section.

I believe we are all somewhat prisoners of where, when and to whom we were born. I was lucky. Most of you reading this were pretty lucky too, I bet. There is now a huge disconnect between those who make a lot of money and those who do not. As one of you observed, society can only take that situation for just so long and then… well, we’ll see won’t we.

Posted By Bing : March 27, 2008 5:03 pm

mostly to yadgyu, ever hear the expression “to many cheifs and not enough indians.” we cant all be the next big buisness man those jobs they have someone has to do them and less fortunate people tend not to get the same opportunity in the so called land of equal opportunity dont you believe that all people deserve a fair livable wage for the job they do.

Posted By Chris Pierce, Oxnard CA : March 27, 2008 5:40 pm

We are all born with a “bundle of rights” within a “spere of influence”.

All people are not created equal, “physically” and “mentally”; “rich” or “poor”.

How we assemble our forward planning initiatives is anybody’s guess; but they can’t crystalize without interacting with other people.

“Bundle of rights” plus “Sphere of influence” plus “Forward planning initiative” plus “Service to offer” plus “Being basically honest” should get employed.

After employment, repeat the program. After you become a manager, repeat the program again.

After you become an executive, repeat the program again; but, very, very, very carefully!

Federal prison is an anti climax to executives lost in “Euphoric Enrapture”.

Posted By Bob Shelby Twp. Mi. : March 27, 2008 5:59 pm

“By the way, just in case anybody has any doubt? I always value the smart, unfeeling, thoroughly anti-humanist views the Yadgyu shares with the gang in his own articulate and inimitable style, but I don’t want anybody to think I agree with any of them. Sometimes he’s outrageous. Always capable of generating plenty of discussion. But right? I never really think so.”
——————-

I am not anti-humanist. I also do not believe that people who stay in bad situations should be looked at with pity and sorrow.

You stated that your grandmother quit a job because she was treated unfairly. These people are going through nothing remotely close to what your grandmother and those other women went through. But at the same time, I cannot truly feel sorry for those women that allowed themselves to be chained to their sewing machines. They made poor decisions.

People have choices in life. These choices are not easy but they have to be made. If a person is so weak that he allows himself to be abused, I cannot feel sorry for him. I do not believe that the abusers are noble or righteous people. But at least they are doing something to improve themselves. They at least are being assertive and using their guts to get their way.

The bottom line is that a cafeteria job is a job that can be easily replaced. Picketing to the man does not matter. They will either not pay attention or will find someone else to work twice as hard for half the pay. I believe that those in power should not abuse that power. But I also believe that those who do not have power should not allow themselves to be abused.

Posted By Yadgyu, Harkeyville, TX : March 27, 2008 10:07 pm

I think Yadgyu has a point. But the reason for the fate of the cafeteria workers is not just that they are not smart. They lack a vision or a dream to reach for greater things. And probably risk averse too. This could be due to their upbringing, environment etc in addition to being smart or not.

But I think this also reduces the chances of any revolution. These days, the people with the dreams and the character to follow through will eventually reach a good place. With that crowd gone, there will not really be anyone among the poor people to actually organise them to make an impact or to topple the current system.

Posted By Pasan, London, UK : March 28, 2008 5:11 am

I think it’s easy to judge other’s “poor decisions” when one has been blessed enough to not have ever experienced the difficult situation of choosing between working for an oppressive employer and feeding your family. I don’t think it’s a matter of lack of intellect, vision or dreams (at least not in all cases). Sometimes it’s a lack of opportunity. What’s shameful is those who are blessed with opportunity don’t feel the responsibility or the inclination to help others who are less fortunate. Business doesn’t always have to be about maximizing profit at the expense of your employees.

As for Spector, well, I suppose it would be easy to envy the situation he’s in. So, I try just to not think about it.

Posted By T, Jville : March 28, 2008 9:00 am

Question – By protesting for higher wages, aren’t the cafeteria workers being assertive in their efforts to do better to themselves? Being a cafeteria worker, or a seamstress or a garbageman are all honorable professions suitable for people without the intellectual ability or ethical flexibility to be executives. By demanding a wage they can live on in the place where they work, they are doing the best they can for themselves.

Posted By Tom, Cape Fear : March 28, 2008 9:21 am

The “Sphere Of Influence” surrounding “Inner City Life” is very compelling.

“The door is always open and your path is free to walk” in the “American Establishment”.

In the “Inner City” emotions run high. “Peer Pressure” runs on passion.

If one starts walking the path to the establishment, one faces the emotions of their peers: jealousy, anger, hostility, resentment, fear, guilt, hate, and love.

One must examine the “Nomenclature” of the “Sphere Of Influence Web” they are entangled in: “Freedom Is Not Free”.

Local daily news thrives on churning the “Human” passions.

Posted By Bob Shelby Twp. Mi. : March 28, 2008 9:49 am

If the cafeteria workers think that their best alternative for getting a better pay check is walking a picket line, then more power to them.

On the other hand, if you think that you can get a better deal by moving to another state, you should consider that also.

Emigration. It’s the new pink.

Posted By Ivan, Washington, DC : March 28, 2008 6:08 pm

But I also believe that those who do not have power should not allow themselves to be abused.

Posted By Yadgyu, Harkeyville, TX
Good Advice to give. Not so easy to take when you are chained to a family or other obligations
The world isn’t fair and nothing is free, you have to scratch out your own little nitche. Always remember that you are the important one, everybody else is just an observer of your struggle through life.
Boy am I feeling profound today or what. I love giving cheap advice.
Guess that makes me normal.

Posted By Jack Hammond Canada : March 29, 2008 7:44 pm

The “Sphere Of Influence” surrounding “Inner City Life” is very compelling.

“The door is always open and your path is free to walk” in the “American Establishment”.

In the “Inner City” emotions run high. “Peer Pressure” runs on passion.

If one starts walking the path to the establishment, one faces the emotions of their peers: jealousy, anger, hostility, resentment, fear, guilt, hate, and love.

One must examine the “Nomenclature” of the “Sphere Of Influence Web” they are entangled in: “Freedom Is Not Free”.

Local daily news thrives on churning the “Human” passions.

Posted By Bob Shelby
Profound, like out of Kung – fu
snatch the pebble from my hand grasshopper.

Obviously I have met my Amercian counter part in the cheap advice department. HI nice to meet you.

Posted By Jack Hammond Canada : March 30, 2008 3:43 pm

Since when has a CEO not gotten a great bonus even when their job performance sucked?
The board and CEO are all in it together, so neither would do something as crazy as give themselves pay cuts for the good of the company.
All the while the same folks tell us that a minimum wage is a bad idea! Of course they would be against a maximum wage because it would restrict their incomes.

Posted By Rick Cain, Tulsa, OK : April 4, 2008 9:42 am

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Stanley Bing
Stanley Bing is a Fortune columnist and best-selling author of business books noted for their wisdom as well as their sharp, slightly acrid sense of humor. He is also the only writer on business and the workplace who still puts on a suit and tie and goes to do battle with the dragons that breathe fire at corporate America every day. This blog captures what remains of his brain after it has exploded in all other directions.
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