I have heard companies during recession ask CXO to work without pay. Here the case is bit different “Pay without work” Rashmi Garde, who departed from her role as Vice President and General Counsel on September 22, 2009 will receive biweekly salary continuation payments through September 22, 2010 or such earlier date that she commences employment elsewhere.
It is always interesting to read the 8-K specially the Item5.02. The same information is available under http://sec.gov/Archives/edgar/data/1124610/000119312509209207/d8k.htm.
Its a great move by the board of Vitesse Semiconductor Corporation VTSS. I think they are taking the correct steps in investing in technology and at the same time cutting the expenses.
In the last 2 months they have done a great job in technology:
- VITESSE AND DUNE NETWORKS DELIVER INTEROPERABLE END-TO-END SOLUTION
- Advanced Vitesse 10 Gigabit Ethernet LAN/WAN PHY Sets New Standards for Compact SFP+-Compliant Transceiver
As previously disclosed in a Current Report on Form 8-K filed by Vitesse Semiconductor Corporation (the “Company”) with the Securities and Exchange Commission on February 26, 2009 (the “February Form 8-K”), Christopher Gardner, the Company’s Chief Executive Officer, agreed to a temporary 20% reduction in his base salary. The February Form 8-K also disclosed agreements between the Company and Richard Yonker, the Company’s Chief Financial Officer, and Michael Green, the Company’s Vice President, General Counsel and Secretary, for temporary 10% reductions in their base salaries. These temporary salary reductions were agreed to as part of the Company’s expense reduction initiative and were contemporaneous with a temporary reduction of salaries for all employees through the end of fiscal year 2009, ended September 30, 2009. On October 1, 2009, the salaries of the Company’s employees other than Mssrs. Gardner, Yonker and Green were reinstated to the same levels as in effect prior to the reduction.