compensation

Trump says he’s firing TVA chairman over executive pay, outsourcing

President Donald Trump said he’s firing the chairman of the Tennessee Valley Authority over the compensation package of the public utility’s CEO and moves to outsource IT jobs.

The Associated Press reports Trump told reporters at the White House he was removing the authority’s chair of the board and another member of the board, while threatening to remove other directors if they keep hiring foreign labor.

“Let this serve as a warning to any federally appointed board. If you betray American workers, then you will hear two simple words ‘you’re fired,” Trump said.

The TVA chairman is James “Skip” Thompson of Decatur, Ala., one of four directors Trump appointed in his first year in office.

U.S. Sen. Lamar Alexander (R-Maryville) in April pushed back against Trump’s attacks on TVA and Lyash.

“Attacking TVA doesn’t do one thing to solve the pandemic and has no place in federal COVID-19 response legislation. TVA does not receive one dollar in federal taxpayer subsidies or federal appropriations,” Alexander said.

The outsourcing of IT jobs became the subject of a TV ad campaign by the U.S. Tech Workers evidently seen by the president, who recently tweeted about the spot.

“Another one of many Fake T.V. ads, this one about the Tennessee Valley Authority, which for years has paid its top executive a ridiculous FORTUNE. Not run by the U.S., but I have long been fighting that crazy ‘salary’ & its policies,” Trump said in the tweet.

The leading Republican candidates for the Senate were quick to praise the president for his moves, though they focused on differing elements. Vanderbilt surgeon Manny Sethi, who has spoken out against TVA compensation since this spring released the following statement:

President Trump was right to take action on the Tennessee Valley Authority. Our public utilities do not need overpaid bureaucrats and executives. I am grateful to see the President take these steps because it will hopefully help TVA move in the right direction- towards transparency and accountability.

Former U.S. Ambassador Bill Hagerty appeared more interested in the foreign workers element:

President Donald Trump is right, we can’t outsource American jobs at a time when our unemployment rate is higher than ever […] Our power grid is an integral component of our nation’s infrastructure and there are significant national security concerns associated with outsourcing any aspect of software or IT management to firms that may be foreign-owned, staffed or otherwise impacted. We need to put the American worker and our national security first.