Business

Investors Pushed Apple Inc. To Cut The Pay Package Of CEO Tim Cook To Over 40%

Apple Inc. has accepted the request of its Chief Executive Officer Tim Cook to cut his compensation by more than 40% in 2023. He took this step after the company drew criticism from investor forums that Cook’s stock would continue to vest post-retirement.

HIGHLIGHTS

• Tim Cook’s compensation is reduced from $99.4 million to $49 million on his request and demand of investor forums
• Apple Inc. was under criticism from investor forums for rewarding Tim Cook with more stocks

How Much Compensation Was Tim Cook Drawing?

In 2021, Tim Cook’s total pay package was $98.7 million. But Apple Inc. raised his compensation to $99.4 million in 2022. It includes $3 million in base salary, about $83 million in stock awards, and a bonus.

Mr Cook will draw a package of $49 million including the $3 million salary and $6 million bonus, as well as an equity award value of $40 million. His equity award value in 2022 was $75 million. But how much Cook draws as compensation would base on the company’s stock performance.

The 62-year-old CEO has pledged to give away his wealth to charitable causes.

The percentage of stock units awarded to Cook and tied to Apple’s performance would increase to 75% in 2023 from 50%, as well as in future years, said Apple Inc. in a regulatory filing Thursday.

The company said that his latest compensation was based on “balanced shareholder feedback, Apple’s exceptional performance, and a recommendation from Mr. Cook. The iPhone maker also plans to “position Mr. Cook’s annual target compensation between the 80th and 90th percentiles relative to their primary peer group for future years.

Why Were Investor Forums Criticizing Mr Cook’s Compensation?

Institutional Shareholder Services complained that … Read the rest

18,000 Amazon Employees Will Be Separated With Benefits

Amazon hurriedly announced a job cut due to an internal leak about the decision to reduce the workforce by over 18,000 employees. And these reductions are in addition to the 10,000 layoffs the company announced in November.

HIGHLIGHTS

• Amazon is removing the 18,000 staff it hired during the pandemic
• The impacted workers will be informed on January 18
• The impacted staff will be provided with all support including transitional health insurance

Why Is Amazon Reducing Its Workforce?

Our CEO Andy Jassy just shared a message to Amazon employees. https://t.co/cw5Dl6WY84
— Amazon News (@amazonnews) January 5, 2023

CEO Andy Jassy cited the uncertain economy as a reason for the layoff. He also said that the company’s leadership was “deeply aware that these role eliminations were difficult for people, and they didn’t take those decisions lightly.

As of September, the retail giant employs 1.54 million people worldwide excluding seasonal workers recruited during periods of increased activity, particularly during the holiday season. Its global staff was almost doubled due to vengeance hiring during the pandemic time when the demand for online deliveries was at its peak. Most of the recruitments were made at the beginning of 2020 and 2022.

Andy Jassy said that the company will start informing the impacted workers from January 18 but they had to make a sudden announcement because one of their teammates leaked this information externally. Some of the staff will be from Europe.

How Will Amazon Compensate The Impacted Staff?

The company has plans to give packages including a separation payment, transitional health insurance benefits, and external job placement support to the outgoing staff. Jassy further said that Amazon had weathered uncertain and difficult economies in the past, and they would continue to do … Read the rest

Barring Foreigners From Buying Residential Properties In Canada

Liberal Government Of Canada Bars Foreigners From Buying Residential Properties In Cities

On Sunday, Prime Minister Justin Trudeau imposed a temporary two-year moratorium on foreigners buying residential property in Canada. The Canadian government wants to make more homes available for locals facing a housing crunch. But refugees and others are allowed to buy homes under exceptional conditions

HIGHLIGHTS

• The liberal government of Canada imposes a temporary two-year ban on foreigners buying residential properties
• It was a poll promise made during the 2021 election campaign
• Other markets have also imposed taxes on non-residents and empty homes

What Is The New Act Barring Foreigners From Buying Residential Properties In Canada?

The Liberal government enacted the Prohibition on the Purchase of Residential Property by the Non-Canadians Act following their victory in the 2021 elections. They had promised more homes for locals during the elections. It is a temporary two-year ban on foreigners buying residential properties in Canada but refugees and permanent residents who are not citizens are allowed to buy homes as exceptions. Also, the government clarified that the ban will apply to city homes and not to recreational properties like summer cottages. Also, cities like Vancouver and Toronto have introduced taxes on non-residents and empty homes.

Why Is The Condition Of the Real Estate Market In Canada?

The Liberal party said during their election campaign that The desirability of Canadian homes was attracting profiteers, wealthy corporations, and foreign investors. That was leading to a real problem of underused and vacant housing, rampant speculation, and skyrocketing prices. Homes were for people, not investors.

According to the Canadian Real Estate Association, average home prices at the start of 2022 were more than Can$800,000 (USD 590,000) but the prices came down to just over Can$630,000 (USD 465,000) last month.… Read the rest

This Is Steve Jobs Talking About Computers With Playboy Magazine In 1985

A Twitter user Soleio posted an old interview of Apple’s co-founder Steve Jobs with Playboy magazine. In this candid interview, Steve Jobs is seen talking about making computers and mistakes. The caption of the post reads “Every time I use ChatGPT, I’m reminded of Steve Jobs describing it in this Playboy interview, Feb 1985.”

HIGHLIGHTS

• An old interview of Steve Jobs with Playboy magazine has surfaced on the Internet
• In the interview, Jobs talked about computer programming

Why Did Soleio Mention Steve Jobs In The Post?

Soleio said that every time he used ChatGPT, he was reminded of Steve Jobs describing that in the Feb 1985 Playboy interview. Steve Jobs talked about how computers were going to affect the quality of thinking as more and more had those tools available to them. Humans were tool users.

Steve Jobs further talked about how computers could capture the fundamental, underlying principals of an experience. In another tweet, Soleio said that he particularly loved knowing that that was the Steve Jobs who just shipped the Macintosh and was months from being ousted.

What Did Steve Jobs Say In That Interview?

Steve Jobs talked about what computer programming could do. He said a computer could capture the underlying principles, and underlying essence and then facilitate thousands of experiences based on the perception of the underlying principles.

Source:- https://bit.ly/3PYZr8c

… Read the rest

Amazon Axing 10,000 Employees Under Annual Operating Planning Review

Amazon hardware chief Dave Limp said some roles would no longer be required in the layoff process started by the company on Wednesday. According to The New York Times report, it will be the largest job cut in the company’s history.

HIGHLIGHTS

• 10,000 Amazonions would lose their jobs
• Employees from the device, retail, and human resource division will be most affected
• Amazon calls it the annual operating planning review process

Why Is Amazon Laying Off Its Employees?

Amazon’s spokesperson Kelly Nantel told TechCrunch that as part of their annual operating planning review process, they always looked at each of their businesses and what they believed they should change. As they had gone through that, given the current macroeconomic environment, some teams were making adjustments, which in some cases meant certain roles were no longer necessary. They didn’t take those decisions lightly, and they were working to support any employees who might be affected.

Amazon hardware chief Dave Limp wrote in a memo to workers that after a deep set of reviews, they recently decided to consolidate some teams and programs. One of the consequences of those decisions was that some roles would no longer be required. It pained him to have to deliver that news as they knew they would lose talented Amazonians from the Devices & Services org as a result, he added.

Who Are The Affected Employees?

Amazon will remove 10,000 employees (3%) in corporate technology roles but the cuts will remain fluid and could change according to needs. CNBC reported that cuts would remain focused on devices organization, retail division, and human resource department.

Managers have started informing employees about the layoff. But the affected employees are provided an … Read the rest

What Is Elon Musk’s “Deep Cut Plan” For Twitter?

Elon Musk has asked Twitter Inc’s teams to explore options for annual infrastructure cost savings of up to $1 billion and has given Nov 7 deadline to present a plan. But the teams fear that this move could make Twitter unable to handle high-traffic events like the U.S. midterm elections.

HIGHLIGHTS

• Elon Musk could save up to $3 million a day from servers and cloud services
• But the steep infrastructure cut will compromise the services during critical events
• Musk has asked Twitter teams to work hard to meet Nov 7 deadline to present a cost-cutting plan

What Is The Present Infrastructural Cost Of Twitter?

According to an internal document, Twitter’s daily expense is about $3 million a day “with all spending and revenue considered”. But the company wants to go for a “Deep Cut Plan” to save as much as it can. It is estimated that the social media company can save between $1.5 million and $3 million by cutting down on its servers and cloud services.

What Is Twitter’s Deep Cut Plan?

The social media platform has extra server space to ensure that it can easily accommodate high traffic which is when people rush to Twitter to share and consume information. It happens in crisis times or major political events. Insiders say that Musk is willing to introduce that risk to meet those goals. Elon Musk can even reduce spending on Google Cloud services to fulfill the goals. But Google didn’t comment on this matter.

Twitter teams are working round the clock to meet the Nov 7 deadline set to present a “Deep Cut Plan”. Musk has even ordered some of the officials to work every day to meet the deadline.

Source:- https://bit.ly/3t0zjPy

… Read the rest

Padma Bhushan Jamshed J Irani Breathed His Last At 86

Jamshed J Irani, The Steel Man of India and winner of the Padma Bhushan award, breathed his last on October 31, 2022, at 10 PM at TMH (Tata Hospital) in Jamshedpur. Dr. Irani (86) served Tata Steel in various positions till his retirement in 2011. He is survived by his wife Daisy Irani and his three children, Zubin, Niloufer, and Tanaaz.

HIGHLIGHTS

• Tata Steel mourns the death of Jamshed J Irani
• Dr. Irani started his career with Tata Iron and Steel Company in 1968
• He was the winner of many awards including the Lifetime Achievement Award by the Government of India

Who Was Jamshed J Irani?

Born on June 2, 1936, in Nagpur, Jamshed J Irani was a born scholar. He completed his education in MSc in Geology from Nagpur University in 1958 and went to the University of Sheffield in the UK as a J N Tata scholar where he studied Metallurgy and became a Ph.D. in Metallurgy in 1963.

He first joined the British Iron and Steel Research Association in Sheffield in 1963 but soon returned to India to contribute to nation-building. Here he joined The Tata Iron and Steel Company (now Tata Steel) in 1968 as Assistant to the Director in charge of Research and Development.

At Tata Steel, he held various positions including General Superintendent in 1978, General Manager in 1979, President of Tata Steel in 1985, Joint Managing Director of Tata Steel in 1988, and Managing Director in 1992. He retired as Managing Director in 2001.

He joined the Board of Tata Steel in 1981 and was made a Non-Executive Director from 2001 for a decade. He was also made Director of several Tata Group companies, including Tata Motors and Tata Teleservices. … Read the rest

Stage Of Developmental Projects In India

PM Modi Initiates A 100-Trillion-Rupee ($1.2 Trillion) Project Gati Shakti To Compete With China

Concerned about the delaying of developmental projects, Prime Minister Narendra Modi has called for initiating a mega project to speed up the developmental work. PM Modi believes that only technology has the answer to the problems causing a delay in developmental projects.

HIGHLIGHTS

• PM Modi initiates a 100-trillion-rupee project Gati Shakti to boost the developmental work
• The project involves creating a digital platform combining 16 ministries for investors and companies
• The important factor of the project is identifying clusters with huge potential for development

What Is The Stage Of Developmental Projects In India?

According to the latest data available, almost half of the infrastructure projects are delayed for one reason or another. Also, one in the four projects runs its estimated budget due to a lack of resources and technology. And it is a perennial problem that has become notorious over time. PM Modi has suggested a solution in making a mega project called Gati Shakti.

What Is Gati Shakti?

It is a digital platform created with a fund of 100-trillion-rupee ($1.2 trillion) to provide speed to development projects facing delays due to unspecified reasons. PM Modi has suggested making a platform combining 16 ministries to provide a one-stop solution for design, approval, and estimation of costs of the projects.

Amrit Lal Meena, special secretary of logistics in the ministry of commerce and industry, said that the mission was to implement projects without time and cost overrun. Global companies choosing India as their manufacturing center is the objective, said Amrit Lal Meena.

Anshuman Sinha, a partner at Kearney India who leads transport and infrastructure practices, said that Gati Shakti was about making it easier to have a flow of goods and manufactured components across the length and … Read the rest

10 Points Of India’s Inclusion In The Global Bond Index

The Indian government has ruled out the long-standing demand for the inclusion of nation’s bonds to be included in global indexes by denying any changes to tax policies.

10 Highlights Of The Big Story

The government has no plans to waive capital gains taxes and it is concerned about foreign flows increasing the volatility of local markets.
Predictions of $30 billion of foreign inflows through bonds were dashed with the government’s decision to levy capital gains. But the index compliers have the option of including securities without changes.
Pankaj Pathak, a fixed-income fund manager at Quantum Asset Management Co., said that the benefits might outweigh the concerns because Indian bonds would diversify the index, boost the yield, and expand the market opportunities.
India holds the third largest bond market in the emerging world but it is yet to be included in the global indexes.
Since the local banks and foreign investors boosted their holdings in June, the country’s benchmark 10-year bond yield witnessed a drop of 30 basis points.
The yield witnessed a further decline of 7 basis points to 7.29% on Tuesday.
According to experts, inclusion could lead to billions of dollars of inflows as money managers often track global indexes before making allocation decisions.
The experts further said that the government wanted to be self-reliant in its funding, and was prepared to manage any selloff in its debt market if inclusion failed to happen.
According to a JPMorgan investor survey, investors wanted India to replace Russia which was excluded from the indexes after it invaded Ukraine.
JPMorgan is likely to index India’s bonds early next year as the Indian government still needs time to address operational issues.

Source:- https://bit.ly/3dSd3ni

… Read the rest

Tata Steel Is Merging Seven Of Its Subsidiaries For These Reasons

Tats Steel Ltd. made a big announcement on Friday. It is going to merge seven of its subsidiaries including four listed and three unlisted companies with itself. The merger will consolidate its operations and save costs in the long run.

10 Highlights Of Tata Steel’s Merger

Tata Steel Long Products Ltd (TSL), Tinplate Co. of India Ltd, Tata Metaliks Ltd, TRF Ltd, The Indian Steel & Wire Products Ltd, Tata Steel Mining Ltd, and S&T Mining Co. Ltd. are going to merge with Tata Steel Ltd.
The announcement made Tata Steel jump up to 4.1% on the stock exchanges but was left only with gains of 0.55% as the benchmark Sensex index plunged over 1.73%.
Tata Steel will swap 79 shares with every 10 shares of Tata Metaliks and 33 shares with every 10 shares of Tinplate. The share swap rate of 2% premium and 1% premium, respectively, is considered beneficial for the shareholders of the subsidiary companies.
It will swap 67 shares for every 10 shares of Tata Steel Long Products at a 7.8% discount and 17 shares for every 10 shares of TRF at a 53% discount). Here the swap rate is in favor of Tata Steel.
Shareholders of Indian Steel & Wire Products Ltd. will get ₹426 per share. Tata Steel Mining Ltd and S&T Mining Co. Ltd are wholly owned units of Tata Steel.
Tata Steel said that the amalgamation will drive synergy benefits for the company with operational integration and better facility utilization. Resources of the merged entities will be pooled and the marketing and distribution network will collaborate.
The amalgamation will improve raw material security and rationalize the logistics cost. It will also reduce the royalty on iron ore paid by the subsidiaries.
Jatin

… Read the rest