Big profits at Disney, big bonus for Iger, pink slips for many

Discussion in 'The Howard Stern Show' started by SouthernListen, Jun 8, 2015.

  1. SouthernListen

    SouthernListen I don't follow the crowd. Sorry about that. VIP

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    http://www.epi.org/blog/et-tu-micke...g-u-s-workers-with-cheaper-h-1b-guestworkers/

    Et Tu, Mickey Mouse? Disney Pads Record Profits by Replacing U.S. Workers with Cheaper H-1B Guestworkers
    Disney Corporation had its most profitable year ever, with profits of $7.5 billion—up 22 percent from the previous year. Disney’s stock price is up approximately 150 percent over the past three years. These kinds of results have paid off handsomely for its CEO Bob Iger, who took home $46 million in compensation last year.

    Disney prides itself on its recipe for “delighting customers,” a recipe it says includes putting employees first. They tout this as a key to their success in creating “a culture where going the extra mile for customers comes naturally” for employees. One method of creating this culture is referring to its employees as “cast members.” In fact, Disney is so proud of its organizational culture that it’s even created an institute to share its magic with other businesses (for a consulting fee, of course).

    So, you would expect a firm that puts its employees first to share the vast prosperity that’s been created with the very employees who went above and beyond to help generate those record profits.

    Well, how did Mr. Iger repay his workers—sorry, I mean cast members—for creating all this profit? Not with bonuses and a big raises. Instead, as the New York Times just detailed in a major report, he forced hundreds of them to train their own replacements—temporary foreign workers here on H-1B guestworker visas—before he laid them off.


    What motivates a company to replace its American workers with H-1B guestworkers? One word: Profit. H-1B guestworkers are cheaper than American workers and don’t have much bargaining power, and any company would be foolish not to take advantage of this highly lucrative business model that has been inadvertently created by Congress and multiple presidential administrations. Of course, this business model is paid for by destroying the livelihoods and dignity of tens of thousands of American workers. The costs are also borne by American taxpayers, through foregone tax revenue and the additional social services that need to be provided for those newly unemployed American workers.

    When it comes to using the H-1B to cut costs, Disney is far from an isolated case. The Disney news comes on the heels of multiple reports of corporate layoffs with H-1B replacements, atSouthern California Edison, the Fossil Group in Texas, Pfizer and Northeast Utilities in Connecticut, Harley Davidson in Milwaukee and Kansas, and Cargill in Minnesota.

    The full story of Disney’s injustice hasn’t yet come to light, because the company isn’t willing to speak about it, and displaced American workers are afraid to talk because they fear they won’t be hired elsewhere. Further, the Obama administration has refused to investigate any of the recent listed H-1B abuse cases. We know that Disney hired HCL, a major India-based offshore outsourcing firm, to bring in its H-1B workers. Like its rivals Tata, Infosys, and Wipro, HCL is one of the top H-1B employers in America. HCL is a publicly traded company, whose CEO Vineet Nayer once proclaimed that recent American graduates are “unemployable” because they expect too much and are too expensive to train.

    HCL was the sixth largest recipient of H-1B visas in fiscal year 2013, with the Obama administration approving 1,713 H-1B visas for its workers. Like most top H-1B employers, government data reveal that HCL uses the program for cheap, temporary labor rather than as bridge to permanent immigration. In fiscal 2013 it applied for only 128 green cards, compared to its 1,713 new H-1B workers, or 7 percent of the H-1Bs it hired that year (because H-1B visas are valid for up to six years, HCL’s total H-1B workforce is much larger, but it does not disclose this information).

    According to government data acquired through a Freedom of Information Act request, the median wage HCL paid those 1,713 H-1B workers was $61,984, which is essentially the entry level wage for an information technology (IT) worker, and more importantly, a 25 percent discount on the median wage of $82,710 for Computer Systems Analysts in the United States. Moreover, it’s almost certain that Disney’s 25 percent H-1B discount is an understatement, because many of the laid off Disney workers I spoke with were earning approximately $100,000, and had been employed there for many years, so they had also earned and accumulated benefits packages based on their seniority.

    It’s important to point out that Disney is not an outlier, it’s the norm. Loopholes in the H-1B program make it irresistible to corporations, whose sole goal has become to maximize profits and shareholder value. Appealing to patriotism, corporate social responsibility, or even a sense of moral decency is a fool’s game. If you don’t believe me, look no further than Disney, whichbrags about its awards for its corporate social responsibility.

    We may not like it but in the contemporary U.S. business environment, ten out of ten corporate executives will choose to replace Americans with cheaper guestworkers—it would be a dereliction of their fiduciary duty to shareholders if they failed to take advantage of this. Congress, the president, and the Departments of Labor and Homeland Security should not sit idly by while this happens. They should reform the program so it can’t be used to undercut American workers and exploit foreign workers.
     
  2. DarkFriday

    DarkFriday Fired as a MOD...Twice. Gold

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    :eek::bringit:
     
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  3. scoobyla

    scoobyla Well-Known Member

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    i think its a mistake in the long run. if ppl dont have a good experience they dont come back.
     
  4. Lster

    Lster Well-Known Member VIP

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    I doubt good ol Walt would like that. He was a firm believer in American exceptionalism.

    I went to Disneyworld a year ago and so many of the employees were from South America. It's not that they shouldn't be given a chance to work but they should be building their countries up or properly immigrating to the U.S. Taking our small jobs is just fucked.
     
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  5. Roland Schwinn

    Roland Schwinn *Likes reported as of October 14, 2016 Gold

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    Star Wars boycott anyone? Anyone?


    :giggle:
     
  6. Roland Schwinn

    Roland Schwinn *Likes reported as of October 14, 2016 Gold

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    Maybe you were on "it's a small world after all"
     
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  7. HorseFanNetwork

    HorseFanNetwork Well-Known Member

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    of course he still stands by "putting employees first" decree, in this case the unemployment line.
     
  8. scoobyla

    scoobyla Well-Known Member

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    fuk that ride. 30 years later i still hear that dumb song in my head.
     
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  9. Lster

    Lster Well-Known Member VIP

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    That piece of shit ride had a 35 minute wait. 35 minutes for a ride people thought was lame when Disneyland opened.

    I would never go back to Disneyworld, it's basically the same damn experience as Disneyland but instead of being in 2 dense parks it's in 4. Doesn't even have the awesome Indiana Jones ride. Oh and instead of nice Anaheim weather you get humid swamp Orlando, how pretty.

    Universal Studios Florida though, that place is fun.
     
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  10. Roland Schwinn

    Roland Schwinn *Likes reported as of October 14, 2016 Gold

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    :lol: You said it!

    I did a lil LSD at universal studios back in the late 90s. Fuckin back to the future ride was mind blowing!!! :oderus:
     
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  11. newcastlefan

    newcastlefan גֵּרְשֹׁם VIP

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    there are lots of issues about this besides the immediate money ones mentioned: for example, even when you are employed "at will" it is very difficult for a US company to get rid of non-performing employees. it is very simple to get rid of under performing foreign workers: you just reassign the visa and they have to return home. Some other countries realize this and make it expensive to do that: Singapore labor laws require employees to give even foreign workers in the country on work visas 30 days minimum paid notice and if the employer wants to hire someone away from another company, they have to give the transferring guy 30+ days to clean up his affairs with his current employer. You want the H-1B visa game to stop, don;t make a big stink about it in the press because the politicians won't do shit (they are in on it). Just get a regulatory change to the labor laws to mimic Singapore.
     
  12. newcastlefan

    newcastlefan גֵּרְשֹׁם VIP

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    it was > 90 minutes wait for it when it opened at the 1964 Worlds Fair (I rode it "a few times", often as part of a courtesy deal my dad got from GAF film and the NYC newspapers - its where i first drank Pabst beer cause it was free at the Disney World of Tomorrow pavilion during the courtesy trips). The movie Tomorrowland is pretty close to what i remember their thing at the Worlds Fail being like)
     
  13. HowieStearn

    HowieStearn HateClub

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    it's safe to say Disney's (and America's) best days are behind us
     
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  14. HorsetoothBeth

    HorsetoothBeth Well-Known Member

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    The nostril burning, overwhelming smell of chlorine for the entire ride makes it worth it.
     
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  15. SouthernListen

    SouthernListen I don't follow the crowd. Sorry about that. VIP

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    Yep, they diluted the parks so they could get 2 extra "gates" to charge for . It has attractions for two good parks, the rest is filler. The bonus for them is guests spend hours outside of the parks getting from one to the other, so they can squeeze more paying customers in.
     
  16. kauzpayne2002

    kauzpayne2002 Well-Known Member

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    the only people that are being let go are the technical people that answer phones when booking Disney hotels and replacing them with people who have works visa that come in from other countries.
     
  17. Lster

    Lster Well-Known Member VIP

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    I'm not that pessimistic, we just need a government that cares about the people instead of caring for giant corporations and the government itself.
     
  18. WUT7272G7C

    WUT7272G7C Space Chimp

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    The article had a typo..

    "..and displaced American workers are afraid to talk because they fear they won’t be hired elsewhere"

    should be..

    "..and displaced American workers are afraid to talk because they fear they would be deported"
     
  19. vaporizer

    vaporizer Well-Known Member

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    Disney sucks. I haven't been to Disneyland in 20 years and I don't miss it one bit.
     
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  20. FishySausage

    FishySausage Original Nuttah VIP Gold

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    I have a good time at Disneyland :dontknow:
     
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