Global compensation consultant Towers Perrin should be shot!

http://www.thestreet.com/story/10478287/3/five-dumbest-things-on-wall-street-march-27.html

Furniture Brands(FBN Quote - Cramer on FBN - Stock Picks) paid CEO Ralph Scozzafava $3.8 million in total cash compensation last year, including a 7% salary increase, according to trade magazine Furniture Today.

Scozzafava pocketed the hefty pay package despite sales falling 16.3% at the St. Louis-based company to $1.74 billion in 2008, and a net loss of $415.8 million on continuing operations, a mere eight times its 2007 loss. In December, the company eliminated 1,400 jobs, or about 15% of its remaining U.S. workforce

Scozzafava joined the company in June 2007 when the company's stock was above $14. The once-proud manufacturer of name-brands like Broyhill, Lane and Thomasville now trades for around 80 cents, and the company sports a piddling $40 million stock market value.

In a story about Scozzafava's bonus deal in Wednesday's Wall Street Journal, a company spokesman said "executive compensation decisions are made by an independent committee of the board of directors, which has been advised by global compensation consultant Towers Perrin."

That answer had us scratching our heads a little -- OK, a lot -- so we rang up Furniture Brands International and asked them who hired those fair and impartial consultants. To which they kindly replied, "the board."

And who is the chairman of said board? You got it. Ralph Scozzafava.
Don't blame Scozzafava, though. He just hired the people who overpaid him.

----

Er. In what way is this "fair and independant". Or impartial?

This... this is one of the most disgusting pay increases I have ever heard of... I'm surprised no lawsuits are being filed. Or maybe there are, just not big news considering other current events.

Let's summarise:

Sales fell 16% in 2008, losses increased 800% from 50 million to 400 million, share price fell 94%...

And these compensation consultants, Towers Perrin, who ultimately receive their paychecks and negotiate their contracts with Ralph Scozzafava...

Decide to award Ralph Scozzafava, CEO, with a 7% salary increase for the year.

...

Whee.

I feel like puking. WTF, looks like ANY MORON CAN BE A COMPENSATION CONSULTANT. This is apparently some global firm, and they give out horseshit like this... by contrast, I'm sure that people like you and me must be much more qualified than this bunch of imbeciles.