More than 60,000 tech workers can seek monetary damages from Apple, Intel, Google, and Adobe Systems because of a federal judge's ruling in a suit claiming that former Apple CEO Steve Jobs conspired with other local executives to limit worker's pay by barring them from moving from one company to another. Judge Lucy Koh cited what she termed "considerable compelling common proof" that the Silicon Valley companies engaged in antitrust behavior by agreeing not to try to lure each others employees away.
In July of this year Pixar, Lucasfilm, and Intuit reached a preliminary settlement on charges they conspired to restrict employee pay by agreeing not to poach each other's workers.
The strategy in the disk drive world is to legally harass employees going to a competitor.
These practices are not just confined to the Valley. In Minnesota, similar claims have been made.
Gee, with CEO pay now 307 times medium rank and file pay, up from 120 times in 1992, seems like capitalism is working just fine for the boss.
STX made a lot of points on the MAO suit and possibly a ton of cash, but in this regard their hands are no cleaner than any other firm. If anything, sleazier, since they went after ex employees they had abused, who spoke up about their treatment after leaving the firm.
"Not true as long as they don't take intellectual property with them"
Then what would you call what happened to Peter Boneyhard? He went through years of legal briefs with the IBM lawyers and nothing ever came of it. There are others that got the treatment for daring to challenge big brother and the boss. PG, for example. Should I go on?
"The strategy in the disk drive world is to legally harass employees going to a competitor"
Ahhhh, fond memories here. Remember the Peter Boneyhard suit brought by IBM against STX? Boneyhard was the IBM head design guru, who took a retirement package and later was recruited by STX.
Turns out an IBM engineer walked off with a customer notebook from a key TFH equipment supplier during the middle of the lawsuit. The engineer said he took it by accident! LOL!
STX had ordered a proprietary tool from the supplier who also had IBM as a customer for the same equipment. IBM then privately pressured the equipment manufacturer to change the tool design from the STX specs so it wouldn't work. In the end, the companies kissed and made up, the lawyers made their fees, and STX ended up with a multi-million system that didn't do as expected. STX then shifted to an alternative technology (HEADWAY) that didn't work that well either. The engineer in charge left. STX then coerced another equipment supplier to let them make samples on a tool going to RDRT. In fact, one account has the tool that RDRT specified and ordered going to STX, with RDRT getting a GEN 2 tool.
Another chapter in the soap opera, as the disk turns!
I don't object to anyone earning as much as I can. I do object to idiot stock holders not raising Cain about upper mgt's benefits. Much of this waste belongs to the common stock holder as dividends. The zillion of shares held by the developer of the corp is fair. If it is mine then I want it all. New people to the corp do not deserve the excessive benefits. That again, should be money towards the dividends. MO
"These practices are not just confined to the Valley. In Minnesota, similar claims have been made"
I often wondered why you never would see engineers jump from Honeywell to 3M or vice versa.
The page is turning my friends. Wages in China have quadrupled since 2000 and Chinese workers are aggressively asserting themselves. The U.S. population is aging and with a slowly improving economy, U.S. companies may have to stop being so misery with their employees.
For years to the talking heads on CNBC, especially the idiot KRUDLOW, have been trying to make right wing points on the pace of the economic recovery while ignoring the squeeze of the middle class.