As it was said in a statement made on Thursday by Caterpillar, the board of directors decided to abandon its policy that forces Jim Umpleby, the company’s current CEO and Chairman, to leave his post and resign upon reaching the age of 65.
This decision of Caterpillar mirrors a similar move made by Target Corp. Last month, Target Corp also waived their retirement policy, allowing Brian Cornell, the company’s CEO, to remain in his post.
According to information from the Caterpillar website, Umpleby, who is now 64, took the position of the company’s CEO in 2017, aiding the heavy machinery manufacturer in expansion of offerings across the construction and mining business segments.
As it was emphasized in a statement made by Debra Reed-Klages, presiding director for the Board, such a decision of abandoning their retirement policy in case of Jim Umpleby would provide the Board with enhanced flexibility in changing their executives.
Umpleby started working with Caterpillar in 1980 after joining Solar Turbines, which was the company’s subsidiary. His total working experience at Caterpillar is 40 years. He has previously stated his intention to keep managing the company after his 65th birthday in February next year.