Executive Salaries - Notice to USAA MEMBERS

This is to all USAA Members ONLY!
Do you know how much compensation Bob Davis and other executives get?
The members own the company! Please write to Bob Davis and ask. Who is monitoring USAA, not the rubberstamp board of directors.

see attached -

blog.al.com/pr/2007/10/insurance_exec_pay_raises_1.html

Thanks for Info. This is suppose to be a not-for-profit company so why does he make the same as a CEO for a fortune 200 publicly traded company?
His retirement package is probably not included and could be in the millions.
Maybe at the next annual meeting more people will question the total compensation package. If they can get the truth.

Who said it was non-profit? Im sure there is a USAA foundation that is non-profit. Are you referring to that fact that its a mutual company?

For members\subscribers like me, USAA is a Reciprocal interinsurance Exchange. Our subscriber savings account is retained by the AIF(Attorney In Fact). Our savings account can grow a lot more if the board of directors will stop approving huge salaries and bonuses for the executives. Like many in corporate America today, the board is in bed with the CEO and other executives. The members have little power to stop uncontrolled executive compensation. The off-shore work to India and brag about the savings so they justify a bigger bonus.

Very interesting. I am a USAA member, but am also looking for employment with them despite all the negative coments. I see negative comments about most employers on here through.

From above -

I understand your hesitation about the negative posts on this site, but plenty of friends of mine who are/were at USAA wish they would have known about this site prior to taking their jobs with USAA.

What type of job have you been offered? What is your background? Do you have any other offers from insurance agencies/banks? Seriously, the posts on this site are as close to truth-telling as it gets without sitting down across the table from a USAA employee outside of work.

Do you really want to work for a company where managers are coached on how to recognize and break apart employee unions? Do you want to waive your constitutional right to a jury trial by signing USAA's employee arbitration clause as a condition of you keeping your job? Do you want to be so bullied and harassed on a daily basis that you have to see a psychotherapist, even though you have never had issues with depression before?

Do yourself, your family, and whoever else is impacted by your livelihood a favor and do not take the job with USAA.

If you work for USAA quit as soon as possible.

Bob Marley - Redemption song says it best;

"Emancipate yourselves from mental slavery;
None but ourselves can free our minds."

I haven't been offered a job by USAA. I graduate in December with a BBA in Marketing. I did an internship with State Farm, but did not really care for the agent business model. I've applied for a few positions with USAA, the only one I heard back from was a member service rep and thats because they cancelled their December and January training classes. They said I was automatically considered for the February class, obviously no guarantee. I was looking at Progressive, Countrywide and Fastenal and they all have pretty bad reviews. If I went back to State Farm, I would be in claims making 12/hr in claims, not what I want to do. To be an agent, you have to be crooked and ignorant, which I am not either. Are all departments that bad? Of coarse I don't want to work for a company as the forum portrays. Unfortunately , I've yet to find much positive from any company I've been looking at. If this CEO aka King is that bad, will he be around that long? It sounds like the board lacks power to do something about it. So as my job search continues, I guess I'm trying to find the best of the worst.

Thanks for all the feedback!

Why is the CEO also Chairman of the board? Who the hell voted for that? It seems as though you have to be in the military to make it to the top.

Like I said it's a hand picked, rubber stamp, board of directors. A bunch of do nothing good old boys and girls who collect a paycheck, nice travel perks and slap each other on the back.

from above in Galveston, Texas said: I haven't been offered a job by USAA. I graduate in December with a BBA in Marketing. I did an internship with State Farm, but did not really care for the agent business model. I've applied for a few positions with USAA, the only one I heard back from was a member service rep and thats because they cancelled their December and January training classes. They said I was automatically considered for the February class, obviously no guarantee. I was looking at Progressive, Countrywide and Fastenal and they all have pretty bad reviews. If I went back to State Farm, I would be in claims making 12/hr in claims, not what I want to do. To be an agent, you have to be crooked and ignorant, which I am not either. Are all departments that bad? Of coarse I don't want to work for a company as the forum portrays. Unfortunately , I've yet to find much positive from any company I've been looking at. If this CEO aka King is that bad, will he be around that long? It sounds like the board lacks power to do something about it. So as my job search continues, I guess I'm trying to find the best of the worst.

Thanks for all the feedback!

From above -

You are to be commended for doing research on USAA and the other companies you mention prior to graduation. Unless you are absolutely 100% certain that you want to go into insurance, you might be better-served to take your talents elsewhere. You will likely find the same bureaucracy with other insurance agencies - their whole business model is based off of managing risk, so unless you are an actuary or really mild-mannered, you may want to avoid insurance. If you want to work in San Antonio, there are plenty of worthwhile and "mostly" ethical employers to look at - no one company is going to be fully staffed by completely honest people all the time. But with a BBA in Marketing, Dallas or Houston could be better - they both have 4-5X more Fortune 500 companies than San Antonio.

Simpla City in San Antonio, Texas said: From above -

You are to be commended for doing research on USAA and the other companies you mention prior to graduation. Unless you are absolutely 100% certain that you want to go into insurance, you might be better-served to take your talents elsewhere. You will likely find the same bureaucracy with other insurance agencies - their whole business model is based off of managing risk, so unless you are an actuary or really mild-mannered, you may want to avoid insurance. If you want to work in San Antonio, there are plenty of worthwhile and "mostly" ethical employers to look at - no one company is going to be fully staffed by completely honest people all the time. But with a BBA in Marketing, Dallas or Houston could be better - they both have 4-5X more Fortune 500 companies than San Antonio.

And about the CEO - he plans to retire in two years, but he will have left a horrific wake of destruction. He has been employed there for close to ten years, the last five as CEO. If you want to work for a company that will continue to downsize (you say the December and January classes were cancelled - perhaps due to either a hiring freeze or an attempt to do preemptive damage control after the rumored 10-20% layoffs that are coming late 2007, early 2008), continue to outsource (the company employs at least a thousand contractors from India's Tata Consulting Agency, and these poor folks are treated like indentured servants) while encouraging schizophrenic, abusive leadership, then you certainly want to be part of the USAA communist bloc.

I think USAA's off-shore and on-shore visa Indians account for about 50% of the IT people. Probably more since I left. I'm surprise they don't waterboard the Indians to work harder since technically it's not torture, at least according to Bush. USAA is far far right of the neocons. Also they tend to promote Americans of India or Asia origin who don't have a problem abusing their own kind. And they call it diversity. Sick. Glad to hear the CEO (Dr. Stranglelove) is leaving I hope he has time to reflect on his sins and his meaningless life at the top.

I think the CEO is resigning because he is just as popular as Bush. Nobody with a brain wants to work for him that's why they off-shore the work.

Whatever you do… please, discourage anyone you care about from getting a job at USAA. I could post, in great detail, all of the problems systemic to USAA. In fact, to illustrate how wasteful they are with the member’s money I could even detail all the compensation and pay that employees and execs get, but all that would get me is the relentless attack of USAA's attorney's... many of which I know. Keeping it simple… USAA is a highly hypocritical and dysfunctional organization that you would all be best served to stay far away. Even I must admit that I was over-compensated and traveled on the corporate jet more times than I care to admit... when a flight on SWA would have been just fine. I accepted a job specifically because it was supposed to be an organization with a highly honorable mission. It does have a great mission… in writing only, but anyone can give you lip service. Just beware!

I work at USAA. SecurityMikeB, obviously you quit for good reasons, and they're your own... but I love it. I've been here for 7 years, and have been treated with respect and professionalism throughout. Now that I've held 3 different titles, I can honestly say as long as you are being an engaged employee, you will be rewarded well. We receive larger bonuses, and competitive pay. Those who have been fired? Find one that USAA cannot justify :-P If you aren't good at your job, don't expect to keep it.

It is a reciprocal company, but that does not mean that it is non-profit.

Find any other insurance company who will give you their profit margin, and go to them. Now since you can't, be thankful you receive any dividend, because GEICO, Allstate, Progressive, Statefar ... blah blah blah --- they simply don't give anything.

PTown in Phoenix, Arizona said: I work at USAA. SecurityMikeB, obviously you quit for good reasons, and they're your own... but I love it. I've been here for 7 years, and have been treated with respect and professionalism throughout. Now that I've held 3 different titles, I can honestly say as long as you are being an engaged employee, you will be rewarded well. We receive larger bonuses, and competitive pay. Those who have been fired? Find one that USAA cannot justify :-P If you aren't good at your job, don't expect to keep it.

It is a reciprocal company, but that does not mean that it is non-profit.

Find any other insurance company who will give you their profit margin, and go to them. Now since you can't, be thankful you receive any dividend, because GEICO, Allstate, Progressive, Statefar ... blah blah blah --- they simply don't give anything.

Can you explain why we received a check from our State Farm Ins Co? since they don't give anything...

State Farm is a mutual company, where the policy holders own the company. They do pay dividends. I dont think its nearly as much as what USAA pays though. I think I got $130 last year from USAA.

from above in Galveston, Texas said: State Farm is a mutual company, where the policy holders own the company. They do pay dividends. I dont think its nearly as much as what USAA pays though. I think I got $130 last year from USAA.

The refund depends on the amount of products, just like USAA; as well as your tenure with the company.

We got much more than that; but we've had State Farm 25+ years and have numerous products.

Sue Me. in Gig Harbor, Washington said: This is to all USAA Members ONLY!
Do you know how much compensation Bob Davis and other executives get?
The members own the company! Please write to Bob Davis and ask. Who is monitoring USAA, not the rubberstamp board of directors.

Well it costs money to have a corporate jet. Davis just throws the employees some crumbs and they grovel.

Wow. So did Davis resigned because he lost or stoled billions of SSA money using SIVs? I can't wait to see the annual report. I would guess no bonuses this year.

My dividend check was measly this year...only $56. Thats much less than it normally is. Something is going on up top.I don't think there were any major hurricane claims that were paid out this year either.

Did Davis lose billions like Citigroup, Etrade, Merrill Lynch, Bear Stearns..other and is your PENSION safe, is USAA near bankruptcy, will you have a job next week? Will India buy USAA? HAHAHA. Get ready for major problems besides your bonus. USAA can not be the only financial company to escape the huge loses. USAA employees better start praying.

If that's true it doesn't surprise me Davis always looked and appeared less than honorable in my opinion.

I urge everyone to visit the website from "indeed indeed" (the second comment on this page) regarding the compensation received by certain CEOs, especially USAA's Bob Davis's 2005 $4.1 million and 2006 $3.8 million. It makes my skin crawl. How does he sleep at nite? Probably much better than the rest of us. If you have no conscience, you have nothing to worry about. Certainly not the millions of policyholders and thousands of employees and retirees. Even though he's gone now, I still worry for the victims he left in his wake, including myself. It's easy to tell from the other comments in this blog who was a friend of Bob. At least Bob should have enough money to cover that extra child support he should be paying. got en

How short your memories are. When Bob Davis took over USAA was a hare's breath from bankruptcy. The stock market was high and claims, bonuses, etc were all paid from the earning on the companies portfolio. It was Davis who had the hard job of running USAA like a company instead of an entitlment company. I came in shortly after he arrived and was amazed by the lazy, spoiled and whining employees I found. These were people for whom USAA paid for not one, but two degrees. The same people who had half their families working there and enjoy bonuses so large they paid off their homes. They whined when their lunch mention was no longer subsidized but stood on line and happily forked over as much as six bucks several times a day for starbucks coffee. If you are an ex employee so what. Get over it. Get another job. You were not a slave. You were paid for services your performed. You served at the will of your employer. It is what it is. If you're a current employee and not happy -- please -- GET ANOTHER DAMN JOB!

Every company has horrible people. Should Dawn have been promoted to President of anything -- probably not. But who in the organization would have been better -- you didn't want Karen. You hated Maria. And noboby trusted Mark. So you got Dawn. Davis took a chance on new young talent that would carry the company into the future. Maybe it worked -- maybe not. But someone had to do something and he was the right person at that time.

USAA no longer needs him so he's gone -- for whatever reason. Now -- let me suggest that all of you move on as well.

Bob D certainly did some good things when he first started. He instilled fear into his subordinats to obtain loyality, just like George Bush. It was my way or the highway. USAA was never close to Bankruptcy, that was part of the propaganda machine to instill fear and a sense of urgency, just like BUSH. The threat of a slight Bond downgrade is not bankruptcy. Just like Iraq was not a threat to America. It's called taking advantage of a bad situation for personal benefit. Then the lies began, lie after lie after lie. I know many in management who could not believe the snake oil they were selling. Offshore 5%, then 10, then 20, the 30% then 40% and then they stopped counting and talking about it. It was all the lies that caused the problems. The complete disconnect between words and actions. Like Bush being a compassionate conservative. Speak up only if you agree or it will make me look good. Davis could make a descent speech if he was talking to 5th graders or brainwashed-braindead idiots. After the speech he would do whatever he wanted to do, just like Bush. He was a man of his time for a failed nation, a liar, a bully, an egomaniac, just like our failed president.
Well maybe it was all those layers of management that were lying, it's called plausible deny-ability. It only works when you are at the top. You be the judge.
Yes - move we have, cancel products - we have. Found some good people to work for - we have. I feel sorry for Dawn because in the end she probably got treated the same way the employees did, people don't change that much.
Thank God.

Bob was a bully, pure and simple. Like many bullies he got what he deserved in the end.

Content Ex Employee in Dallas, Texas said: How short your memories are. When Bob Davis took over USAA was a hare's breath from bankruptcy...

USAA no longer needs him so he's gone -- for whatever reason. Now -- let me suggest that all of you move on as well.

I've been lurking in this forum for a while but this post made me want to be legit. Let me start by saying that I agree with several of your points. Many people enjoyed fantastic benefits in the golden age of USAA that they seem to have forgotten. The counter to that is many of us work really really hard earning every stinkin' cent and every stinkin' perk. I also agree that there are too many people running around who make working at USAA miserable, whether they're in management or not. FWIW, Bob was a tool. He took the whole "run it like a business" thing way too far. We lost many employees during his regime. Some needed to go and they earned their ticket out. Some didn't deserve it. I can't speak to those cases where it wasn't deserved so I'll leave that argument to the capable keyboards of this forum's regular posters.

But this isn't why I was compelled to go legit...it was the "hare's breath". That made me laugh after my 10 hour day toiling away so that I can proudly say "I know what it means to serve". It conjoured images of bunnies with bad breath and <cheeks reddening> even a bunny ranch run by Bob and starring Dawn as his "head gal". Thanks for the laugh. It made my day. <heeheehee>

BTW, the phrase you were looking for is "hair's breadth". Sadly, it's not the least bit amusing written this way.

KingGeorgeTheZERO in San Quentin, California said: Bob D certainly did some good things when he first started. He instilled fear into his subordinats to obtain loyality, just like George Bush. It was my way or the highway. USAA was never close to Bankruptcy, that was part of the propaganda machine to instill fear and a sense of urgency, just like BUSH. The threat of a slight Bond downgrade is not bankruptcy. Just like Iraq was not a threat to America. It's called taking advantage of a bad situation for personal benefit. Then the lies began, lie after lie after lie. I know many in management who could not believe the snake oil they were selling. Offshore 5%, then 10, then 20, the 30% then 40% and then they stopped counting and talking about it. It was all the lies that caused the problems. The complete disconnect between words and actions. Like Bush being a compassionate conservative. Speak up only if you agree or it will make me look good. Davis could make a descent speech if he was talking to 5th graders or brainwashed-braindead idiots. After the speech he would do whatever he wanted to do, just like Bush. He was a man of his time for a failed nation, a liar, a bully, an egomaniac, just like our failed president.
Well maybe it was all those layers of management that were lying, it's called plausible deny-ability. It only works when you are at the top. You be the judge.
Yes - move we have, cancel products - we have. Found some good people to work for - we have. I feel sorry for Dawn because in the end she probably got treated the same way the employees did, people don't change that much.
Thank God.

Dear Lord, how many Bush references are in there...like 10? Are you sure you got the right forum?

I sure will be glad when the next President is elected, and all of the Bush haters will have nothing to be angry about...as if.

Let's stick to the USAA topic, if you would. Thx.