J.C. Penney Plane-Commute Executives ...

J.C. Penney Plane-Commute Executives Seen Hurting Johnson Revamp

There are 9 comments on the bloomberg.com story from Mar 20, 2013, titled J.C. Penney Plane-Commute Executives Seen Hurting Johnson Revamp. In it, bloomberg.com reports that:

J.C. Penney Co. Chief Executive Officer Ron Johnson , who is struggling to overhaul the department-store company, risks making his task harder by hiring at least nine key executives who live a plane ride away.

Join the discussion below, or Read more at bloomberg.com.

bob haller

Pittsburgh, PA

#1 Mar 20, 2013
When at JCP has Ron J done ANYTHING right?

he should of known better than ever hired commuter executives
Ron the Magnificent

Hampton, VA

#2 Mar 20, 2013
“Several of the people who currently travel to Plano from other cities are in the process of setting up permanent residence here and are moving to the Dallas area,” Hays said.“With all the travel retail leaders do, it doesn’t always make sense to uproot and relocate their families, move them away from friends and family to a new city -- only to be gone traveling to visit vendors, stores or overseas.”

Ron got 52 million up front, then burdened Penny's for a jet from California and a major hotel bill when he shows up for work? If these clowns need to fly all over, poor retailers, find the center of the US make them live there. Oh wait, they put that overseas statement in so being located in Califorinia is OK. Who does this person work for who made the above statement, Ron? Was it just prepared and this is just a talking head? If this is how the directors of JCP are allowing the waste of money they need to be replaced. This is truly wrong. At $4,000 an hour these idiots should move to the corporative home, gee, no one suffers and suffers as much as these guys. They are the only people on earth that put in long hours and have to travel a lot. Good to know.
Vanessa Morgan

Grand Prairie, TX

#3 Mar 20, 2013
Not all those commuting are executives. The company is also paying for directors, project managers, and other levels to commute, and these levels of employees do not travel as part of their job responsibilities. They recruited their buddies and told them they don't have to move, so they don't. They use Monday mornings and Thursday afternoons for travel. They aren't even in the office 4 days a week.

So, these Apple alumni or cronies from their past are hired in at ridiculously high salaries that are well above the salary paid to (1.) the previous Penney employee in that position or (2.) Penney employees of equal rank and responsibility PLUS the company pays their commuting. When you add those 2 numbers together, it's theft. These guys are stealing.

And if they don't pay for their cronies to commute, they pay to relocate them. They are paying relocation costs for people at the lowest levels within the company. Are you seriously going to tell me they could not find a fully qualified candidate locally?

A bunch of thieves, and obviously the board of directors doesn't care.

Yes, they do call us DOPEs. Just because Ms. Hays (who is an executive) makes her claim, does not mean it is without merit.
bob haller

Pittsburgh, PA

#4 Mar 20, 2013
If JCP ends up in bankruptcy and liquidates I HOPE the board of directors gets their pants sued off.......

It would serve them right to lose all their assets for not propely supervising Ron the idiot.....

United States

#5 Mar 20, 2013
So if I am reading it right, that about around 43,000 lost their jobs in 1 yr due to this clown Johnson. Can someone clarify that for me. Awhile back I said about 50,000 would be cut and someone called me out and said I was crazy. I am sure that there will be many many more soon.
Rotten Apple

Frisco, TX

#6 Mar 20, 2013
EX-JCPenneys wrote:
So if I am reading it right, that about around 43,000 lost their jobs in 1 yr due to this clown Johnson. Can someone clarify that for me. Awhile back I said about 50,000 would be cut and someone called me out and said I was crazy. I am sure that there will be many many more soon.
No one on the outside can really know the actual number, but the total force reduction is definitely far more than RJ's quoted 19,000 + recent terms, which many are adding up to around 22,000.

In my own observation, for about every two people laid off one has quit and not been back-filled.

I've also been hearing of those placed on a PIP (odd, since JCP no longer does performance evaluations under RJ) that they get offered 2 months severance if they wish to quit. This seems to be their new way of doing a 'layoff'.

The Executive VPs behave like petulant and arrogant children, the CEO is out of touch and clueless, the VPs and directors run around playing corporate games to try to save their own jobs (who can blame them?), entire areas are laid off under the guise of 'simplification' and then suddenly someone realizes their job function was critical (or needed due to backtracking on RJs failed plans), etc etc.

Ever wonder why no JCP flyers? Maybe because the print operation was shut down right off the bat.

Unfortunately I do not see these people going anywhere. One thing RJ did was a massive 'purge' of senior leadership extending past the VP level and touching even Director level. In almost 20 years with JCP, many CEOs, many purges, I have never seen one so misdirected and unjust. Just like an evil king, RJ has beheaded all those who could take his throne internally.

This is not to say that RJ and the exec team can lead, obviously they don't and can't. They are just a bunch of old school bulldog types with an autocratic and arrogant style so predominant that it bled through to the consumer almost immediately. More seriously - what qualified CEO from the outside would want to walk into the chaotic mess and dysfunctional company that Ron Johnson and Bill Ackman created?
Anony mouse

Lexington, MA

#7 Mar 21, 2013
For those who don't know...a PIP is/was a "performance improvement plan;" usually administered by the store manager under the guidance of some outside corporate HR person. Under this plan an employee who rates "poor" or "below expectations"(usually a supervisor) is given an impossibly small window of time to improve performance to "meets expectations" or be laid off. Once one gets to this point, it is next to impossible to salvage one's job. Often, the outcome of this is influenced by how popular the employee is with the store manager/upper management; ie how much effort they want to put into it. I saw this happen to some people in my store...it wasn't pretty.
bob haller

Pittsburgh, PA

#8 Mar 21, 2013
Ron needs a PIP, timeframe end of march for a turn around or a complete turn out of him and everyone he brought in to reinvent retail:(
Ron madness

Hampton, VA

#9 Mar 21, 2013
I seen Ron behavior before, purged the whole management structure starting at the top to below the department level, replaced with friends and buddies that keep banker hours, hey friends of the boss, then the working staff, the working staff first treated like cannon fodder, basically a herd of replaceable morons, but that word "team" is thrown around, then the purge. This guy would demand that every employee write and turn in a resume, because the organization didn't know your skills, even though a yearly review had line item requirements and some people had 20 plus years in jobs. He would simple rewrite your job description to get rid of people. He 90 % cleaned out the place replacing in positions of management his buddy or someone below 30 years old. He would state anyone in the same job for 4 years was incompetent, aka he had issues with any older worker. When directed asked about the high turnover, he would answer, we haven't lost anyone we didn't want to keep. This guy got canned, took 5 years, good thing people were hiring lawyers to take him and the organization to task. Sad thing, he left, pulling the same crap at his new job. They had to recreate jobs after he left, they were core jobs, these slots were lost when he needed the slots to manufacture some useless management tile to hire a buddy that was then part of his inner circle. The damage done was huge to the organization, it created a very bad good old buddy system over night that takes years to create, many of these new hires didn't leave after their leader was canned. Place is a major snake pit. Things that should set off a red flags with a CEO being a nut job, shows up in sweater, open shirt, claims to be your buddy, or wears cowboy boots with a suit to work, claims to be your buddy. These guys didn't get where they are at beening anyone's buddy, stop cultivating some Steve Jobs image, or you are some cowboy.

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