Kingston Bonus

Re “Holiday Bonus for Workers: $100 Million,” Dec. 15: I just want to say thank you to David Sun and John Tu, founders of Kingston Technology, for giving this corporate cynic a glimmer of hope. It’s funny how two businessmen from Taiwan taught all of us a lesson in what is supposed to be the American way.

Since the early 1980s, American business has come to view its employees as if they were a liability to the company’s bottom line. Management has always been more than willing to take all the credit for a company’s success, but none of the responsibility for its failures. When problems arise, management’s solution is to downsize. They claim it’s so they can remain competitive in the marketplace. It’s no wonder American workers live in constant fear. American business uses the terms “competitive” and “profitable” interchangeably. And, as we all learned in school, profit is all that counts to an economy based on capitalism.

Then, along come Sun and Tu. They have an idea for a better RAM chip. They work hard and build a successful company. In time, they sell their company to another entity for $1.5 billion. But, instead of taking the money and buying bigger houses or faster cars, they share the wealth with their employees. Why? Because these two gentlemen knew that so much of their personal success came from the labors of their employees. And who better to share in these profits than the ones who earned the profits.

Hey, all you MBAs: You were probably taught that employee loyalty is a thing of the past. Well, you’re wrong. My guess is loyalty is alive and well at Kingston Technology. And not because it was bought in the form of a Christmas bonus. But rather, because it was earned by two gentlemen who knew the value of their employees.

RON HULL

Whittier

* Your Dec. 17 editorial with regard to the Kingston bonus package missed the point. I had the opportunity to hear Tu speak at the Asian Business League when he was named businessman of the year. In a soft and even voice he spoke of his employees as being his family. And he meant it. He is a man who cares deeply about the people who work for him. His generous bonus was not calculated to motivate. It was not a result of productivity studies.

Tu gave his employees $100 million because he is a man who believes that family is important above all else. He is a man who recognizes that sometimes the bottom line isn’t the bottom line.

PETER TULIPAN