The 1%

How would you like a 225% raise last year?

So what would you have to do to get that increase, well for one thing lay off 3,000 employees in 2010 and 1,425 employees in 2011. There was an article in the Hartford Courant on Tuesday about Stanley Black & Decker executive compensation.

Stanley Black & Decker Paid Chairman $64.4 Million in 2011
Says It Made Minor Changes in Response to Shareholders' Disapproval of Pay Package Last Year
Hartford Courant
By MARA LEE,
March 20, 2012

Even after Stanley Black & Decker shareholders rejected the tool and security company's executive pay plan last spring, the company paid Nolan D. Archibald, its chairman and the former CEO of Black & Decker, a total of $64.4 million in 2011.

John F. Lundgren, CEO of Stanley Black & Decker, who led The Stanley Works in its 2010 acquisition of Black & Decker, received total compensation of $19.8 million last year.

The vote by shareholders at the 2011 annual meeting, which was not binding, made Stanley Black & Decker one of about 40 companies whose shareholders voted down executive pay given in 2010. The reason: compensation related to the merger, which will include a $45 million payout for Archibald in 2013.

That $45 million is a reward for Archibald's helping the company realize "cost synergies" — including reducing employees by 3,000 in 2010 and by 1,425 in 2011 because of the merger.

Most of the increase was due to stock options increasing stock prices. One of the questions that I have is how much of the stock price increase was due to the increase of the overall economy and how much was due to his leadership? The article goes on to say that the employee base continues to grow, but unfortunately, most of that growth is overseas.

I am a stock holder of Stanley Black & Decker and I voted against the compensation policy last year and I will vote against again this year. They ignored the stock holders last year. only making trivial changes to their compensation package and they will probably ignore this year’s vote.