Boeing CEO brutally ripped over $32.8mn salary during Senate appearance: 'So it's working out great for you' - Hindustan Times
close_game
close_game

Boeing CEO brutally ripped over $32.8mn salary during Senate appearance: 'So it's working out great for you'

ByShweta Kukreti
Jun 20, 2024 07:50 PM IST

Boeing CEO Calhoun received $32.8 million in total compensation in 2023, a 45 percent increase as compared to $22.6 million in the previous year.

Boeing CEO David Calhoun was brutally ripped during his first appearance before the US Congress on Tuesday. He was grilled by the Senators who were looking into aviation giant's production safety measures, work environment, transparency following the series of scandals, whistleblowers accusations, aircraft incidents and business crises.

Boeing President and CEO Dave Calhoun leaves after testifying during a Senate Homeland Security and Governmental Affairs Committee Investigations Subcommittee hearing to examine.(AFP)
Boeing President and CEO Dave Calhoun leaves after testifying during a Senate Homeland Security and Governmental Affairs Committee Investigations Subcommittee hearing to examine.(AFP)

Senator Josh Hawley of Missouri was one of the toughest questioners Calhoun had to deal with. He kept bringing up the CEO's annual reimbursement, which had increased by 45% from 2022, despite the fact that Boeing had been in disarray for a number of occurrences during his tenure.

Calhoun received $32.8 million in total compensation in 2023, a 45 percent increase as compared to $22.6 million in the previous year.

Hawley attacked Calhoun saying he only cares about "cutting corners" and extracting as much money as possible from the aviation behemoth, with little regard for the company's openness, the safety of its passengers, or quality assurance.

“You're eliminating safety procedures, you're sticking it your employees, you're cutting back jobs, you're trying to squeeze every piece of profit you can out of this company...You're strip mining Boeing...for profit, shareholder value and you're rewarded for it. You got a huge raise, you increase, so it's working out great for you,” Hawley scolded Calhoun.

Also Read: FAA was 'too hands off' in Boeing oversight before 737 MAX 9 mid-air emergency incident

Senators hold Calhoun responsible for January 737 MAX disaster

The US Congressman highlighted the several investigations that are presently being conducted in relation to the Boeing tragedies. These investigations include determining if the firm carried out the necessary checks on its 787 aircraft and whether its staff fabricated records.

The senators repeatedly questioned him and accused him of being personally responsible for the January 737 MAX disaster as well as a number of other recent aircraft mishaps.

"(F)rankly, sir, I think it's a travesty that you are still in your job," said Hawley, asking the Boeing CEO that "Why haven't you resigned?"

"I'm sticking this through. I'm proud of having taken the job. I'm proud of our safety record. And I am very proud of our Boeing people," he replied.

Boeing said in March that Calhoun, who took over as CEO in January 2020, would leave the position by the end of 2024.

Legislators reveal new whistleblower bombshell claims

Legislators unveiled devastating new whistleblower claims before Calhoun had an opportunity to explain to them how the firm is collaborating with the Federal Aviation Administration (FAA) to identify and correct the flaws in its production system. The workers at Boeing are in pain and the whistleblowers are “literally fearing for their lives”, Hawley noted.

Sam Mohawk, a quality assurance inspector for the company, said in the June 11 filings that the 737 program had lost track of faulty parts that he worried were being placed into new airplanes. Additionally, he claimed that superiors had retaliated against him for raising the alarm after concealing numerous other "non-conforming" parts from on-site FAA inspectors, such as stabilizers and rudders.

The Senate Permanent Subcommittee on Investigations chairman, Senator Richard Blumenthal, described it as a "moment of reckoning" for the massive aircraft company and informed those in attendance that there was substantial proof the US Justice Department ought to prosecute Boeing.

The Justice Department in May found that the aviation giant has failed to "design, implement, and enforce a compliance and ethics programme" following tragic crashes, according to news agency Reuters.

SHARE THIS ARTICLE ON
SHARE
Story Saved
Live Score
OPEN APP
Saved Articles
Following
My Reads
Sign out
New Delhi 0C
Sunday, July 14, 2024
Start 14 Days Free Trial Subscribe Now
Follow Us On