Comforting News About CEOs

chinneychinney
Posted:
in General Discussion edited January 2014
The year 2002 was a year many of us were looking for jobs, fighting to keep our jobs. and/or making do with little or no pay increase. It was also a year of poor corporate performance as well as scandals about cheating, lies and criminal behaviour at senior levels in corporations, and outcry about outrageous salaries and benefits paid to corporate execs no matter how they performed - rewarding themselves even as their companies tanked and pension funds of ordinary employees were robbed.



In that year, it is comforting to know (according to Forbes magazine) that typical CEO compensation at the biggest US companies rose by 14%. It is good to know that these people will not have to give up their plans to buy that third RollsRoyce or that second vacation villa.

Comments

  • Reply 1 of 5
    cosmonutcosmonut Posts: 4,872member
    My opinion is this: Yes, the jobs that those CEOs do is very important for the economy and infrastructure of the planet, however I can't see how it's justifiable for them to make SO much money with BILLIONS of others concerned about where their next meal is coming from.
  • Reply 2 of 5
    thuh freakthuh freak Posts: 2,664member
    Quote:

    Originally posted by CosmoNut

    My opinion is this: Yes, the jobs that those CEOs do is very important for the economy and infrastructure of the planet, however I can't see how it's justifiable for them to make SO much money with BILLIONS of others concerned about where their next meal is coming from.



    when you become the chief executive of a company, i'd like to see you voluntarily take a pay cut. these people basically control all the money the company makes, and have the power to give themselves amazing salaries. obviously they are going to take a bigger cut when its so abundantly available. and sometimes, a ceo actually does a good job, and deserves a raise or extra compensation. i don't really like the situation either, but if i were in their shoes, i'd probably be a lot worse.
  • Reply 3 of 5
    stoostoo Posts: 1,490member
    Successful CEOs getting paid, fair enough.



    CEOs who run the company into the ground getting massive performance bonuses and golden parachutes is not on.



    Edit: maybe I'm just bitter I didn't sell my telecoms (BT) shares in the mid 90s.
  • Reply 4 of 5
    trumptmantrumptman Posts: 16,464member
    The way to solve this is addressing the problems with corporate boards. Boards are supposed to oversee what the CEO does for the benefit of the stockholders.



    However boards have just become CEO clubs and so you have company boards stacked with CEO's from other companies.



    If you address the board issue, you address the pay issue.



    Apple is a really (unfortunately) good example of this. Steve came in and stacked the whole board with his own choices.



    I suppose we should also ask those stockholders, especially the institutional stockholders why they don't rock the boat a bit more with regard to stacking those boards the way they do. They do confirm board choices by shareholder vote.



    Nick
  • Reply 5 of 5
    kneelbeforezodkneelbeforezod Posts: 1,120member
    Quote:

    Originally posted by trumptman

    The way to solve this is addressing the problems with corporate boards. Boards are supposed to oversee what the CEO does for the benefit of the stockholders.



    However boards have just become CEO clubs and so you have company boards stacked with CEO's from other companies.



    Agree 100%



    Check this out.
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