Posted on 12/16/2005 4:53:54 AM PST by Sybeck1
Joseph Lee won't be getting a hefty car allowance benefit anymore, but his high-ranking utility company colleagues aren't losing theirs any time soon.
The day after Lee announced he would no longer accept the controversial perk, calling it a "distraction" to Memphis, Light, Gas and Water Division, the utility's board declined to take further action regarding the car allowances given to roughly 40 other executives and managers.
The issue was discussed at the utility board's meeting Thursday, but no proposal emerged for any change to MLGW's policy.
Car allowances, which range from about $300 to $1,050 a month, are scheduled to be folded into the salaries of top utility officials, effective Jan. 1, based on an August board decision. The benefit costs the utility about $425,000 a year and also factors into retiree pensions.
Board president Rick Masson said it would simply be unfair to take away a benefit that was promised to employees when they came to work at MLGW.
"It's been part of their compensation since 1986, and we have an obligation to live up to our commitment," Masson said.
"... For us to take that compensation away from them, after they agreed to take these jobs ... that's just not right."
Board colleague William Taylor, however, said he doesn't believe a final decision has been made. "I think we're going to really take a look at it and scrutinize it and try to do the right thing," he said.
Lee announced Wednesday he will give up his $12,600 annual car allowance benefit, starting Jan. 1, to avoid further political scrutiny by some members of the City Council.
Lee said he'll instead use mileage reimbursement for his own car when traveling on company business or borrow a company car when necessary.
In July, the City Council revoked sizable car allowances given to city department heads and decided on a plan to replace the perk by setting up a fleet services office.
-- Michael Erskine: 529-5857
Copyright 2005, commercialappeal.com - Memphis, TN. All Rights Reserved.
MLGW is being set-up for sale ... Mayor Herenton (D) continues to corruptly roll along unquestioned.
He got a VERY BIG salary increase when he was GIVEN the job. Makes nearly as much as King Willie his best buddy.
Ah, Memphis a once proud pretty city.
It is really sad!!!!!!!!
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.