This bar lowering is very disappointing. I would have expected better from this crowd but it just looks grubby.
I imagine it's partly to make sure management get a greater share in the spoils if as I expect Cottee seeks a private equity deal later in the year, when the market has failed to recognise via the SP the company's achievements to a level that he believes is appropriate.
The aspects that I find wrong on many levels are the direct linkages between safety/ environment and reward. I don't have a problem rewarding management for meeting increased productivity targets (and safety/ environment play a part in that). But directly linking safety/ environmental performance to reward should not be allowed on public policy grounds.
Employers are required by law to provide safe work environments and management should not be rewarded simply for complying with the law. It also sets the scene for potential abuses (eg. safety/ environment managers being pressured or otherwise induced to understate / under-report incidents and their severity).
With issue like this a useful test is "How would it look if reported on 60 minutes?" and to my mind it would not look good at all.
AKK Price at posting:
1.1¢ Sentiment: Hold Disclosure: Held
