- 25 -
held similar positions. Respondent contends that Mr. Wesolowski
and Mr. Bennett should therefore receive similar compensation.7
We do not agree, however, that either the companies or the
positions were that similar. Pandora did 65 percent of its own
manufacturing, while petitioner contracted with outside
manufacturers to provide all its products. In addition, Mr.
Bennett performed many of the duties and was responsible for many
of the tasks that Mr. Wesolowski shared with or delegated to
other employees and managers. Finally, we cannot ignore the fact
that Pandora went out of business in 1990, shortly after Mr.
Wesolowski left the company. Consequently, we do not find the
comparisons of petitioner and Mr. Bennett to Pandora and Mr.
Wesolowski compelling.
Petitioner's expert, Joseph P. Gallagher of the Hay Group,
an international management consulting firm, valued Messrs.
Bennett's and Sokol's services under the "Hay Guide Chart-Profile
Method of Job Evaluation". This methodology requires assigning
points to each executive for know-how, problem solving, and
accountability associated with the job requirements and talents
of that executive and then comparing those points to a data base
7In his expert report, Mr. Wesolowski states that his base
salary was $150,000 and that he also received yearend contractual
incentives based on the performance of the company in addition to
stock options (which he did not exercise). Although he provides
a hypothetical salary based on this plan, Mr. Wesolowski does not
state the exact compensation he received in any year.
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