Posted on April 17, 2011
Filed Under commerce, literature | Leave a Comment

As Kindle owners, the likeithateit team feel a collective guilt for the recent troubles that the Borders Bookstores have been facing. Yet as guilty as we feel, it doesn’t compare to the anger that inflames our hearts upon reading that the executives that run Borders in the States are asking for bonuses despite the fact they have run the company into the ground and “out-placed” 6000 workers….

From Politics USA read more

On February 16, Borders Group Inc. (BGP) filed for Chapter 11 protection and announced it would close about 30% of its stores nationwide in the coming weeks (In re Borders Group Inc., 11-10614, U.S. Bankruptcy Court, Southern District of New York). Borders is/was currently the second-largest book chain after Barnes & Noble Inc. (BKS),

Six thousand people – 6,000 – out of work.

As the New York Times reported,

The troubles of Borders are rooted in a series of strategic missteps, executive turnover and a failure to understand the digital revolution — problems in many ways of Borders’ own making.

So it may surprise you to learn that Borders has the same belief as Wall Street with regards to rewarding incompetence. Rather than fix the problem, or punish those responsible, it punished its innocent employees, and the book-hungry public, by closing hundreds of stores. Meanwhile, the President and CEO is asking for $8.3 million in executive bonuses (including nearly $1.7 million for himself).

CEO Mike Edwards currently has a salary of $750,000. The bonus plan would give other top executives bonuses equal to as much as 90% to 150% of their base pay.

Doesn’t seem fair. But then, that’s corporate America. That’s the America Republicans love.


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