gmtoday (AKA Greater Milwaukee's Trusted News Source) posted an article on their website by Brooks Johnson on Saturday, July 8, 2023, that contained a very interesting statement (paragraph 7):
"Amid all this pressure, CEO Mike Roman is orchestrating a companywide transformation ahead of his mandatory retirement in 2024."
This is the first time I have read anything about mandatory retirement of our CEO. Has anyone else heard this before today?
Cheers!
To me, this highlights the problem with a CEO being the Chairman of the Board of Directors. IMO it’s a blatant conflict of interest when a company is in peril like 3M is right now. For MR, it’s sadly apparent that although the Board is willing to extend his employment through his 65th birthday, so he has a soft landing that he does not deserve. Especially when you consider how many employees he’s been willing to lay off. If I was a majority share holder I’d insist that he gets the axe NOW to protect employees and investors.
Roman could either preside over the dividend elimination, bankruptcy, or both. In any event, his legacy as a disgraceful CEO will live on forever.
will Mikey be the CEO that announce the dividend cut , or will he pass the baton to the next CEO? No one would want to be remembered ever to be the person to break the dividend chain of payout.
I recalled previously Inge was granted to extend beyond 65, but he is smart enough to reject it. You can bet that MR will pass on this mess to whoever the next unlucky one.
Traditional corporate succession planning has included mandatory retirement age of 65 for CEOs, but companies from Target to Boeing have recently changed those requirements to allow CEOs to serve longer.
It’s standard for CEOs and top execs to retire at age 65
If only there was someone of influence on the board that could stop him from losing his livelyhood!
My vote would be to waive mandatory retirement and extend Mike Roman until 2030.