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Unlike permanent employees, temporary workers can be laid off without big severance payments and lengthy negotiations with labor representatives.
In 94percentt of the contracts, he said, they cannot be fired for unsatisfactory work without a big severance package.
Big severance packages also make it much harder for start-ups to recruit the professional managers that can take them into the big league.
Still, some investors said that the very idea of big severance packages meant that shareholders had not been as active in watching corporate pay in Europe as elsewhere.
Mr. Fishman will be paid well if he fails, and even better if the company is sold — including a big severance payout.
The departure of each of the past three C.E.O.s (if Apotheker leaves as expected) have been marked by significant embarrassment — and big severance packages.
Similar(49)
And while fuller disclosure of exit packages several years ago has helped ratchet down the size of the biggest severance deals, efforts by shareholders and regulators to further restrict payouts have had less success.
Employers fear the law will mean bigger severance payments.
He was responsible for signing off the biggest severance payments on the advice of his management team.
PIRC is also encouraging shareholders of Tesco, a large British grocery chain, to vote against a bigger severance package for its chief executive, Terry Leahy.
To receive bigger severance packages, employees had to sign waivers that promised they would not take any legal action against the company.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com