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M. CHOWDHURY | Are the current CEOs pay and perks justified? |
Its seems to me that CEOs are making a killing with pay and perks compare to regular workers andeven with any engineers.
Regards,
M. M. Chowdhury, ChE Eng, MBA (on going)
www.amreteckpharma.com |
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gotcha212
|
20 years ago a CEO made 20-30 times the pay of the lowest paid employee. This means if the lowest paid employee gets $10 an hour then the CEO would make $416,000 a year (not counting stock options). I think this is plentry to live nicely.
Currently a CEO in the US makes 400 times the pay of the lowest paid employee. Yes that is right 400 times!! Once again this does not count stock options.
Most CEOs make tons of money in stock options (5 million a year at least).
CEOs do deserve to paid more, but I think 400 times is WAY too much. No other country pays CEOs as well as the US. This is just showing that the people responsible for determining the pay of CEOs are not thinking. Most CEOs get canned early and their contract then pays them huge settlements.
Definition of a perfect job = CEO. Become CEO, ruin the company, get fired and walk away with a $20 million settlement package. Seems good to me. |
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TheMom
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Why is this a problem for you? Without them the rest of the "regular workers" would not have a job. The CEO's are usually the person that took the initial risk to start the company in the first place. There pay has little effect on anyone else, why worry about it? |
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Paul C
 |
I disagree with the other answer. CEOs are sometimes the person that took the risk and started the company (in which case they should find their reward in the form of founder's stock, rather than lavish salaries and perks). Very frequently, they are NOT the people that started the company, but are hired by their rich friends who sit on the Board of Directors. Most of these senior executives all know each other, and sit on each other's Boards, and act like pigs feeding at the trough. Yes, they have demanding jobs, but they would be nothing without the workers. Meanwhile the disparity in pay between CEOs and ordinary workers keeps growing (and is often completely unrelated to CEO performance). Bottom line is YES, they are ridiculously overcompensated. |
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dooood
 |
I think its justified even though the price may be a little high. If we had people like Bush running companies and getting everything in debt even though he apparently studied in Harvard, then US wouldn't be all that it is today. England generates most of its wealth since its one of the financial centers of the world. If it weren't for a few hundred top paid CEO's countries like these who don't have natural resources to last them forever would not last. I think its fine even though they are overpaid. Who would want to take a high risk stressful and politically challenging job then if they weren't paid more than others. |
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Chi Chi
 |
Why would you expect otherwise?.....
If you've work to get to that position then you deserve to get the pay.
They take risks that the reguar person isn't willing to and with big risks come big gains!
The reason is that the CEO holds the Big picture for the Company and responsibilities as well as a mindset that the "Regular" worker doesn't.
They get what they earn because that's what they aimed for.
In life you get what you focus on.......
Chi Chi X. |
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