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Nortel managers to get raises

Toronto— Globe and Mail Update

Top managers at Nortel Networks Corp. are set to receive a round of raises despite the company's financial troubles, according to an internal corporate document obtained by the CBC.

The raises, in the form of increases in salary, investments or bonuses, are part of the company's plan to retain employees as it restructures after filing for bankruptcy protection in January.

Meanwhile, many laid-off and retired Nortel employees are engaged in court battles for their severance packages, pensions and disability payments.

The internal document obtained by CBC outlines a new compensation scheme for 72 Nortel executives that will see them get a total of $7.5-million (U.S.) on top of their current salaries in 2009.

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