Total Nightmare @ Disney

[disneyfan55]

Sorry you can call it 0.85%,I call it 28 million dollars!!!! What a salary of say 5 million isn't enough.How much does a ceo need? They cut a lot of jobs that could have been saved with this money.One word sums it up GREED!!

Yes, greed. I watched a show on Pacific Power and they got approved rate hikes to fix/replace gas lines near where the gas line blew up (60 yr. old pipes) they got the rate increase, collected the money from the customers and used the money to pay bonuses!! They didn't repair the pipes and NOW they are asking for more rate increases for the same repairs. Sickening.

 

[MickeyMinnieMom]

Sorry you can call it 0.85%,I call it 28 million dollars!!!! What a salary of say 5 million isn't enough.How much does a ceo need? They cut a lot of jobs that could have been saved with this money.One word sums it up GREED!!

IMHO, this is a narrow view based on understandable "sticker shock". There are lower CEO salaries in Europe... and everyone else's salary is lower too. Percentages are relevant, as is context. We may not like it, but that's a business reality.

What needs improvement is better correlation between salaries/bonuses and actual performance -- a better distribution of the bonus pool among CEOs. I don't think you'll see the total pool go down, though. Unless the US begins to morph more into other economies...

 

[MickeyMinnieMom]

Yes, greed. I watched a show on Pacific Power and they got approved rate hikes to fix/replace gas lines near where the gas line blew up (60 yr. old pipes) they got the rate increase, collected the money from the customers and used the money to pay bonuses!! They didn't repair the pipes and NOW they are asking for more rate increases for the same repairs. Sickening.

That's bordering on fraudulent and negligent. Different story than Disney, I think.

 

[larryz]

Sorry you can call it 0.85%,I call it 28 million dollars!!!! What a salary of say 5 million isn't enough.How much does a ceo need? They cut a lot of jobs that could have been saved with this money.One word sums it up GREED!!

Bad news -- people are still coming despite the cutbacks in staffing and service levels.

We've become so used to a Disney discount experience (and/or "free" dining), that we are willing to put up with late check-in, slow mousekeeping, crowded busses and cafeteria food at restaurant prices, all so we can stay that extra day, or enjoy not having to pay extra for most of our food.

I believe we're seeing just the tip of the iceberg on cutbacks, and when it gets really bad, this forum and others like it will resonate loudly and clearly that things have deteriorated to an unacceptable level.

And when the people STOP coming, and Disney figures out that it was the poor service and decline in quality and value-for-the-money, the cycle will reverse, the pendulum will swing to the other side, and all will be right with the World again.

In the meantime, tho', don't get your hopes up for change... After all, you don't get to vote for change at WDW.

 

[flicx]

Bad news -- people are still coming despite the cutbacks in staffing and service levels.

We've become so used to a Disney discount experience (and/or "free" dining), that we are willing to put up with late check-in, slow mousekeeping, crowded busses and cafeteria food at restaurant prices, all so we can stay that extra day, or enjoy not having to pay extra for most of our food.

I believe we're seeing just the tip of the iceberg on cutbacks, and when it gets really bad, this forum and others like it will resonate loudly and clearly that things have deteriorated to an unacceptable level.

And when the people STOP coming, and Disney figures out that it was the poor service and decline in quality and value-for-the-money, the cycle will reverse, the pendulum will swing to the other side, and all will be right with the World again.

In the meantime, tho', don't get your hopes up for change... After all, you don't get to vote for change at WDW.

Actually larry I believe attendance was down like 8% according to one poster on here recently.I also think if things were so good they wouldn't be offering free dining for the whole calender year for the first time in company history.Things I believe are trending downward,whether it is economy based or disneys doing is up in the air.I clearly hope like others they soon stop alot of the bad and get back to their roots.I too want things to be right in the world!

 

[KellyNY]

True. But Disney has built up a tremendous amount of goodwill over decades -- it will take quite some time -- and I dare say far more than diminished service during a severe recession -- to squander enough to really make a difference in the long run. Not to mention that the vast majority of people who are "unhappy" right now are still probably planning trips back to WDW!

Agree, but for some this trip may be a final drop as well. I just returned, while I did not have major problems, I had many minor ones. I do not like to think in the evening, should I drop towels or hang them in case mousekeeping will decide to show up late or actually ask if I even want a service. I did not like that merchandise was generic and limited in options, CMs are not happy, but reather just present and there are less of them, and I hated cuts in fireworks and food. And I definitely hated smell of the bathroom 20 ft away from it right before I enterd Epcot. I still enjoyed my family in Disney but all the little dissapointments took from experience.
Basically I decided I will be back but probably only for 2, 3 days instead of our 9-10 days trips. I will most likely stay offsite, rent a car and explore other possibilities, and there is a lot to explore in Orlando. So let me tell this, castle still there, rides are still there but Disney feel isn't there and this is my biggest disapointment.

 

[MickeyMinnieMom]

Actually larry I believe attendance was down like 8% according to one poster on here recently.I also think if things were so good they wouldn't be offering free dining for the whole calender year for the first time in company history.Things I believe are trending downward,whether it is economy based or disneys doing is up in the air.I clearly hope like others they soon stop alot of the bad and get back to their roots.I too want things to be right in the world!

From FY2008 to FY2009, attendance at Disney parks was up 2%. Guest spending down 6%. This is actually good in the context of a US tourism industry that is suffering more on average than Disney is. Not sure where they are yet for FY2010.

You can Google "Disney 10-K" and get lots of good info...

 

[MickeyMinnieMom]

Basically I decided I will be back but probably only for 2, 3 days instead of our 9-10 days trips. I will most likely stay offsite, rent a car and explore other possibilities, and there is a lot to explore in Orlando. So let me tell this, castle still there, rides are still there but Disney feel isn't there and this is my biggest disapointment.

Fair enough. I obviously can't back this up with specific stats, but I'd suspect you are in the minority. As a 2% increase in attendance (FY2008 to FY2009) during a massive recession suggests...

I'd bet you give it another good old college try after the recession blows over, though... maybe...

 

[flicx]

From FY2008 to FY2009, attendance at Disney parks was up 2%. Guest spending down 6%. This is actually good in the context of a US tourism industry that is suffering more on average than Disney is. Not sure where they are yet for FY2010.

You can Google "Disney 10-K" and get lots of good info...

I actually think the post I saw was refering to the first and/or second quarters of this year.Not sure though would have to search for it.

 

[maxiesmom]

We are already paying overinflated rates to stay on property.
If they cannot turn over the rooms than they need to hire more staff.

If you are going to charge a premium price you need to deliver premium service.

Hmm, I don't think all Disney resorts charge a premium price. The Values certainly don't.

It is so easy to tell a company to just hire more people and not raise costs. But that is rarely if ever what happens. Companies are very protective of their bottom line and do what they can with as few people as possible. I know I wish I could tell the president of the company I work for to just hire more people so we could provide better service. But it just won't happen.

 

[MickeyMinnieMom]

I actually think the post I saw was refering to the first and/or second quarters of this year.Not sure though would have to search for it.

Gotcha'. I haven't seen their quarterly reports for 2010 yet. Again, though, I think you'd have to look at that in the context of US tourism for it to be meaningful.


Edited: In first 3 qtrs of 2010, parks revenue is up 2%, operating income down 7%. No specific attendance data in the quarterly reports, but maybe that's reported elsewhere. My main point is that it's far from a train wreck... especially in the context of this economy.

We can get frustrated with the things that we feel are not up to snuff, but facts, as they say, are stubborn things!

 

[flicx]

Gotcha'. I haven't seen their quarterly reports for 2010 yet. Again, though, I think you'd have to look at that in the context of US tourism for it to be meaningful.

I agree there are other factors.I think one of the things that alot of long time disers are seeing that we haven't before is the long periods of discounting.This is not traditional disney,thus I personally think it shows that the market is weak,especially when combined with all the layoffs and cutbacks. Now I guess we are all guessing how much it has to do with economy and/or other issues .

 

[MickeyMinnieMom]

I agree there are other factors.I think one of the things that alot of long time disers are seeing that we haven't before is the long periods of discounting.This is not traditional disney,thus I personally think it shows that the market is weak,especially when combined with all the layoffs and cutbacks. Now I guess we are all guessing how much it has to do with economy and/or other issues .

I hear ya'. I would tend to write a very large portion off to this economy. I did hear an Iger shareholders' meeting, though, where he said they are taking nothing for granted -- not assuming that all revenue decreases are JUST because of the economy.

Hopefully Iger is worth his salary/bonus, and will get everything completely on track when this economy stops its nosedive. I do think he is limited until then, for legitimate reasons. I guess only time will tell, but I am optimistic given the corporation's looooong history...

 

[SDSorority]

 

[bytheblood]

Sorry you can call it 0.85%,I call it 28 million dollars!!!! What a salary of say 5 million isn't enough.How much does a ceo need? They cut a lot of jobs that could have been saved with this money.One word sums it up GREED!!

That is one of the reasons that our country as a whole is in the position it is in.

 

[d1gitman]

...Free market has nothing to do with bonuses - that's decided by the Board of Directors; ask Godman Sachs and AIG how their bonuses were shaped by market forces

Last time i checked, the Gov't doesn't own WDW (at least not yet). Yes it is a publicly held company in which one can buy stock, a product of the free market. you can A) choose not to buy stocks B) choose not to consume their products C) choose not to buy their services. No one is forced to put their dollars towards Disney. If one claims to stand on principles against 'greed', then by golly, stand on them. Talk is cheap.

Who died and left me king? No one. Then again, no one is going to tell me I can't become king either. Like it or not, our country still operates on a free market basis. We are all free to earn as much as we are able to, as long as it legal. The day I am regulated in how much I am allowed to earn in my profession, believe you me, that is the day I look for a new country. Unfortunately that day is coming sooner than later. Our Gov't has intruded into the private sector and pandora's box has been opened.

No one has to like that Iger makes $28m bonus but there is nothing wrong with it as long as it is legal. What if Disney's profits were barely in the 'black' and he 'only' got a $5k bonus? Would it be good that he still got a modest bonus even though the company barely made it for the year? What about a factory worker who gets paid piece-meal and they produce 3x as much work as the worker next to them in the same amount of time? Should they only be paid as much as the slower worker even though the deal was productivity based.

Board of directors or not, the market determines worth...supply and demand, it's simple. The 'eat the rich' mentality will destroy our country.

 

[d1gitman]

I agree and if they cannot make their check in time on a regular basis than something needs to be done.

The problem with Disney is that they are not in the hotel business, they are in the theme park and entertainment business.
The hotels are just guest storage IMO.
...

sure they are. hotels/resorts have always been a part of Disney. I'm no Disney history expert, but I'm pretty sure hotels have been a part of it all from Day one.

 

[d1gitman]

Sorry you can call it 0.85%,I call it 28 million dollars!!!! What a salary of say 5 million isn't enough.How much does a ceo need? They cut a lot of jobs that could have been saved with this money.One word sums it up GREED!!

so then tell us, how much should Iger be allowed to make? how much should i be allowed to make? how much should your coworker make? are we to devise a system where society adheres to a financial class? ridiculous. as long as I am alive, i will defend the right for any person to make any amount of money as long as it is legal.

 

[flicx]

The 'eat the rich' mentality will destroy our country.

I disagree,the greed and lack of business ethics will do it first!

 

[d1gitman]

This whole idea of love a company as a whole or don't go mentality is a complete joke.Any hard working person can see that 28 million for a job is extreme.Tell all the people who lost jobs while they paid this out your theories!By the way my friend disney did miss my dollars this year and price does have something to do with it.But feel free to defend corporate greed if you wish!

That is not at all what I am saying. There are things about Disney I wish were different, including Iger's compensation. However, I do defend his right to earn what one is willing to pay him. You have that same right as well. This eat the rich mentality will absolutely destroy our country if we allow it to take hold. Our country guarantees equal opportunity, not equal results. If someone wants equal results then they need to go to one of those other countries with such a system. I lost my job in January when the company's owner is flying around in a private jet, own's several mansions, etc....Good for him, I don't begrudge him one bit for what he has been able to acquire. It was my choice to accept a job in his company for the compensation offered. It also came with no guarantees that my job was secure. Sure, he could have emptied his coffers to keep me and several others on board, but that isn't his responsibility and i don't want that kind of charity. I gave an honest days work for an honest days pay and that's where it ends. If he owes me his fortune during bad times so I can have what I want, then what do I owe him in return? Sorry, but I will be a slave to no one.