Is Limbaugh Worth It?

Feedback.pdxradio.com message board: Politics and other things: Is Limbaugh Worth It?
Author: Missing_kskd
Thursday, May 07, 2009 - 7:26 am
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Clear Channel paid Limbaugh 100 million dollars in bonus money.

We have, what 500, 900 layoffs?

(I'm sure somebody has the right number)

That's enough to pay 1250 people, assuming a total employment burden of 80K per person. (wages plus bennies)

That's an awful lot of great material that could be produced, people selling, producing, thinking, building relationships, etc...

This is on the political section because it might get hot.

What do you think of that? If it were me, watching good people get canned for that fat ass gas bag, I would be pissed.

Author: Andrew2
Thursday, May 07, 2009 - 7:32 am
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I assume CC had a contract with Rush and had to pay him the bonus. He does make the company a lot of money, presumably; if he choked on a pretzel tonight and stopped doing his radio show tomorrow, how many more CC layoffs would be required? If Rush makes the company a profit even after the $100M, then yes, he is "worth" it.

Author: Missing_kskd
Thursday, May 07, 2009 - 7:37 am
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...only if those 1200 people would not make more profit.

That is maybe the case. Probably is the case.

It's a morbid amount of money, and is only possible with the media consolidation we have today.

Author: Brianl
Thursday, May 07, 2009 - 7:41 am
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"...and is only possible with the media consolidation we have today."

THAT is the problem, Missing.

Author: Skybill
Thursday, May 07, 2009 - 9:13 am
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He's worth paying $100 million about as much as Howard Stern is worth paying $500 million.

Neither one is worth ANYWHERE near that much.

However, if they can negotiate and get it, more power to them.

Author: Humbleharv
Thursday, May 07, 2009 - 10:55 am
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Are Basketball player worth what they are paid?
Are Singers/Entertainers worth what they are paid?
Are Sports players worth what they are paid?
Are you worth what you are paid?

You are worth what someone is willing to pay you. If you can generate enough income and profit to an organization and still get paid what you are, then you are worth it.
Is everyone paid as much as they are worth? No.

Is Leno or Letterman worth what they are paid? Does their program generate profits for the company?

Some are paid on what is an anticipated revenue generator. Advances on books to writers, many of which don't pan out... Howard Stern generating increased subscriber base to Sirius......

The list goes on and on. Is life fair?

Author: Skybill
Thursday, May 07, 2009 - 12:07 pm
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I don't think that any of them are really "worth" it.

But if they can get it great for them.

I know I would if I could!

Author: Alfredo_t
Thursday, May 07, 2009 - 12:16 pm
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I think that Humbleharv is on the right track in that the phenomenon we're observing here is one of celebrity. In the years before reality shows virtually took over prime time network TV, some of the actors on hit sitcoms, such as Seinfeld were making a killing performing on those shows.

I can identify with why this chafes a lot of people: there are many other actors, musicians, and radio commentators who can perform just as well--if not better--than the famous guys. However, the real monetary value of celebrities comes from their recognizable faces and names.

Author: Roger
Thursday, May 07, 2009 - 1:45 pm
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"CELEBRITY" I'm gonna make you...........A STAR!

So ABC has a program DANCING WITH THE STARS...

One of the STARS this season is the jilted runner up from the Bachelor. STAR? CELEBRITY? to who?

Life is and will continue to be not much better than a lottery chance. You can be good/smart creative/attractive, and a gem of a human being who can enrich every situation you come in contact with, and still fall thru the cracks. Or you can be one who is always in the right place, happens to have that right look at the right time, and manages to be the one picked....

As for the question posed to start the thread.

He is to them, but time and time again, the "ENTERTAINMENT" industry has not spent money wisely, be it film, TV, Pro Sports, Radio......

To give so much to your STAR, and cut corners everywhere else, gives you a mediocre team with a star. I would rather spread the money build a better TEAM, with no STARS, but strong top to bottom, and let somebody else have the one star and no supporting cast! CC is a mediocre team, and the star won't win for you with no help....

Many a hall of famer toiled on losing teams.......

Author: Roger
Thursday, May 07, 2009 - 2:01 pm
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AFTERTHOUGHT: The societial issues are SO hard to justify. One person getting way more than needed to have an extravegant existence, and people in the last group of CC cuts, scambling to make sure the rent is coverred....

I'm all for success, but we used to be in awe of millionaires, now millionaires seem to be the middle class..........tack some more zeros on!!!!

A mil a year is a tidy sum. Ought to be for anyone collecting a paycheck anyway....

Author: Missing_kskd
Thursday, May 07, 2009 - 2:14 pm
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Well Harv, I didn't ask if it was fair.

I asked if he was worth it. Totally different question.

Brianl, yeah, you know it. We seriously need to fix that.

I'm in agreement with Skybill too, provided that there exists healthy competition in the market.

Slowly, I'm thinking part of the reason why we can get these mega-salaries, is competition is UNHEALTHY. If we really are depending on market forces to check this stuff, then shouldn't we be structuring our markets so that happens?

Damn right we should.

Author: Brianl
Thursday, May 07, 2009 - 2:29 pm
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Well .. as far as "is he worth it?" The answer is YES.

And here's why:

We as a society have dictated that Rush is worth it. He is making Clear Channel a LOT of money, even if CC is in trouble financially. Not Rush's fault!

He's like any other entertainer, I use for example professional athletes. Alex Rodriguez is in line to make near $300 million with his current contract with the New York Yankees. Yeah, that's a shitload of money, and way more than anyone else makes. But, IMHO it's justified by the 3+ million that put their butts in Yankee Stadium every season to watch him play, and pay the ticket prices to go. It's justified by the millions made in merchandise sales. It's justified by the YES network paying the most lucrative media contract in sports for the rights to show the Yankee games, and why do they? Because they get a ton of ratings, and a ton of revenue. Alex Rodriguez, love or hate the guy, is one of the big reasons why.

It's no different for Rush. This is where we need to practice our God-given right as Americans, and that is self-censorship. Don't like the guy? Turn it off! Lower ratings = less revenue, plain and simple.

Author: Alfredo_t
Thursday, May 07, 2009 - 2:30 pm
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If the bean counters who work at the employers of Limbaugh, Stern, and others could find a way to not have to pay hundreds of millions of dollars in salaries and bonuses, I am sure that we would not have this situation. However, when they crunch the numbers, $100 million or $500 million end up being a justifiable expense to have a famous person on board. Thus, I think that Limbaugh and Stern are worth that kind of money, but only because somebody wanted them that badly.

Author: Deane_johnson
Thursday, May 07, 2009 - 2:35 pm
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Limbaugh is the franchise. They will pay what they have to to get it, providing there is still some profit left.

From Limbaugh's point of view, he's entitled to get whatever someone will pay for his services. Each of you is just exactly the same.

Author: Skeptical
Thursday, May 07, 2009 - 2:47 pm
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On the other hand, paying that amount to a buffoon can be a bit demoralizing to the non-23percentagers working at CC. How much fun is it going to be working at a company when the top paid employee is an assh*le? At least Leno, Letterman et al won't be a source of personal embarassment even if you don't personally like them.

If I was working at CC, perhaps I'll be tempted to sabotage a cart machine used during Rush's show. (I know, cart machines are from a bygone era.)

Author: Alfredo_t
Thursday, May 07, 2009 - 2:55 pm
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Nobody says that one has to like all of the products that one's company puts out. It is (supposed to be) a job, not a cult.

Author: Brianl
Thursday, May 07, 2009 - 2:58 pm
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Ok Skep, on the flip side ...

How many of those hard-working CC employees wouldn't have jobs there if it wasn't for Rush and his show? There would be quite a few jobs that wouldn't be.

As far as working in a place where the top-paid guy is an asshole, I think ALL companies of any size have assholes working in them in some capacity.

Author: Deane_johnson
Thursday, May 07, 2009 - 3:13 pm
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"If I was working at CC, perhaps I'll be tempted to sabotage a cart machine used during Rush's show."

The thinking of a true union man.

Author: Trixter
Thursday, May 07, 2009 - 4:37 pm
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LimBLAH is worth every dime!

I LOVE comedy radio...

Author: Roger
Thursday, May 07, 2009 - 6:28 pm
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.....employees wouldn't have jobs there if it wasn't for Rush and his show?.....

There would be quite a few jobs that wouldn't be..... I'd venture to say more would have than wouldn't if he were gone.

As for A-ROD what created the mistique? Granted he is an excellent player, BUT he is not the team, and it is quite conceivable that sending average money for a capable third baseman would still fill the seats provided they win. With A-ROD it's diminishing returns. The value is in the image/performance. They don't win BECAUSE he is there. He contributes to their winning, but put A-ROD on the Pirates and the seats won't fill just because, and the team won't improve just because,
SO his actual worth then is INFLATED.
RUSH get's his money because CC has the ability to play him on Hundreds of stations. NOW, what's his value if you put him on just one station?

I would contend that Rush isn't worth the money because he is NOT the face of the company that pays him. At least A-ROD is an image of a YANKEE
More people could tell you AR is on the yankees, How many can tell you Rush is on the CC/Premiere team?

Author: Jimbo
Thursday, May 07, 2009 - 9:14 pm
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"How many can tell you Rush is on the CC/Premiere team?"
Doesn't matter. Listeners don't care what team a performer is on. They either want to watch them or they don't.

As has been mentioned...he delivers listeners which translates to advertising and sales. Which gives revenue to his distributor. CC may be in financial problems now but they probably would be in worse shape without him. You don't have to like him but if he makes you money, you would employ him.
The same is true for KPOJ and CC in Portland. You all complain how KEX is too right winged and should just go away (at least Trixter does) but they are the same company that has KPOJ which is left winged. Maybe they should just shut them both down, even it out, and just play records all day, as if we need more of that. Bottom line is that CC Portland has both and they both make money for the company. They don't care if it is right or left.....it makes money.

Companies are not in business to employ people and pay them good wages. They are in business to make money. I know many of you disagree with that but that is reality. We can discuss "How Much" profit they should be able to make but that is a different story.

Author: Skeptical
Thursday, May 07, 2009 - 11:40 pm
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The thinking of a true union man.

If they pay non-family-supportable Taco Bell wages, don't be surprised if somebody took a dump in the pot . . . er, on the cart machine.

Alfredo & BrianL, good points. However, I believe in the top down model -- If you've an a-hole at the top, expect to find a lot of them down the ladder too.

Also, I think its one thing to have someone like Howard Stern -- you can dislike him, but other than that he doesn't affect your daily life -- Rush, on the other hand, manipulates the political system and directly causes havoc with one's well being. So, one has to ask themselves -- are we enabling him?

Author: Roger
Friday, May 08, 2009 - 6:30 am
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Something else to consider as well with CC. When they were gorging themselves on stations, in many situations, They either bought, built, or leased buildings to consolidate their purchases. How much additional did that add to the nut?

The thinking seems to be that replace Rush with anyone else, and the entire listener base evaporates. NO, I think the talkies stick around. Pay his guest hosts millions less for the slot and the righties will stick around. Don't these people have an interest in their local issues? Or, is it just safer to tune into the National Dem bashing. Don't know about anyone else but Congress isn't creating any jobs in this area. Rather hear the Local show holding city and county politicos feet to the fire. That's where things get done.

Author: Brianl
Friday, May 08, 2009 - 7:10 am
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"Also, I think its one thing to have someone like Howard Stern -- you can dislike him, but other than that he doesn't affect your daily life -- Rush, on the other hand, manipulates the political system and directly causes havoc with one's well being. So, one has to ask themselves -- are we enabling him?"

Apples and oranges, IMHO. Two totally different audiences, two totally different target demos, two totally different set of sponsors and advertisers.

Both are in it for the shock, Stern being a shock jock of course, and Rush for the "Wow, what is this guy gonna say next?!" Rush has his loyal followers, who buy the stuff advertised on his show, who follow his every word like sheeple. More than the 23 percenters, I would imagine.

And yeah, there might be more assholes in your top-down model ... but because of Rush, they are EMPLOYED assholes. Less hands at the unemployment line.

And for THAT reason, I say for CC the investment is worth it.


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