GE's John Flannery May Get Nothing After 14-Month Tenure as CEO
- Board must get shareholder approval for some severance payouts
- It’s unclear if the ex-CEO will receive any such benefits
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Add this to the indignities facing General Electric Co.’s ex-Chief Executive Officer John Flannery: He may not get a golden parachute after being ousted just 14 months into his reign.
Many senior executives at large public companies have contracts that promise severance payments if they’re terminated prematurely. But GE’s top bosses are employed at will and don’t have such benefits clearly defined. That gives the board’s compensation committee flexibility to decide the terms based on the “facts and circumstances,” according to GE’s most recent proxy statement.