This gentleman was paid $12 million last year. Meritocracy!
Tim Armstrong should probably stop doing conference calls. The AOL CEO, who fired a guy during one for taking his picture, was perhaps too brash once again today, baldly telling his entire company that their benefits were being rolled back because two women went and got themselves pregnant. "Two things that happened in 2012," Armstrong said, according to a transcript obtained by Capital New York. "We had two AOL-ers that had distressed babies that were born that we paid a million dollars each to make sure those babies were okay in general. And those are the things that add up into our benefits cost. So when we had the final decision about what benefits to cut because of the increased health-care costs, we made the decision, and I made the decision, to basically change the 401(k) plan." Earlier, on TV, Armstrong said, "As a CEO and as a management team, we had to decide, do we pass the $7.1 million of Obamacare costs to our employees? Or do we try to eat as much of that as possible and cut other benefits?"
As for the "Obamacare" bit, as Kevin Drum noted:
It's Obamacare's fault! The all-purpose punching bag gets the blame again. AOL's health care expenses went up this year, just as they have every year since the company was founded, but this time it's Obamacare's fault. Why? Well, why not? It's a mighty handy excuse, isn't it? And it certainly distracts everyone from the fact that AOL is shafting its employees even though it just announced its best results in a decade.Thanks, Obama!