Making Corporations Pay for Huge Gaps

Subject: Case Studies
Pages: 4
Words: 701
Reading time:
3 min
Study level: College

Agenda

The presentation aims at discussing some of the common issues relating to compensation packages. An analysis of compensation packages of the leaders of three publicly traded companies in the US gives insight into the widening gap between the leaders and other employees. The presentation is divided into different sections that guide in understanding trends in compensation.

Compensation for Three Publicly Traded Companies in the US

CEOs remain some of the most influential figures in any company. CEOs’ experience, skills, and networks are critical to the profitability of the firms they lead. Due to their unique position in the organization, CEOs enjoy some of the best compensation packages. CEOs’ compensation packages encompass salary, bonuses, perks, stock awards, option awards, insurance packages, et cetera. The US has some of the highest-paid CEOs in the world. The notable US publicly traded companies and CEOs with high compensation packages include Elon Musk, Mike Pykoz, and Trevor Bezdek.

Arguments for High CEO Compensation

CEOs play a crucial role in the survival and profitability of the companies they lead. The success of any firm depends on the influence of the leader. The leaders influence the culture of the organization by setting and sharing specific values that enhance efficiency, growth, and behavior. Due to these critical success roles, CEOs command some of the best compensation packages compared to regular employees. The presentation offers some of the advantages of pros and the main reasons why CEOs deserve attractive compensation packages.

Arguments Against High CEO Compensation

CEOs play crucial roles within the organization they lead. However, there are different drawbacks when the company leaders enjoy huge compensation benefits. The impacts of the high compensation rewards can affect the firm’s productivity and, eventually, profitability. The presentation explains some of the Key disadvantages and cons of high compensation packages for corporate leaders.

Comparison of Earnings of Notable Athletes’ and CEOs’ Earnings and Responsibilities

It is essential to understand how top CEOs in the US compare with notable athletes in the US in terms of annual compensation packages and responsibilities. The presentation compares CEO Elon Musk to LA Lakers LeBron James. The comparison gives information on the gap between the two leaders who operate in different environments to ensure success for their teams.

It is crucial to understand how top CEOs in the US compare with notable athletes in the US in terms of annual compensation packages and responsibilities. The presentation compares Oak Street Health CEO Mike Pykosz to professional NFL player Tom Brady. The comparison gives information on the gap between the two leaders who operate in different environments to ensure success in the area they work.

It is vital to understand how top CEOs in the US compare with notable athletes in the US in terms of annual compensation packages and responsibilities. The presentation compares GoodRx Holdings CEO Trevor Bezdek to tennis player; Serena Williams. The comparison gives information on the gap between the two leaders who operate in different environments to ensure success in the area they work.

Position on the High Executive Compensations

Company leaders like Elon Musk, over the years, have gained increased compensation packages. The board can derive high compensation from the need to retain outstanding CEO talent. Nonetheless, the colossal compensation gap is a risk to the organization’s finances, other employee morale, and productivity in general. Compared to notable athletes like LeBron James, CEOs continue to lead in compensation packages in the US. The high compensation packages threaten company finances, production, and change in norms and values in society. The evidence from the analysis of notable CEOs and athlete compensation reveals a widening gap in compensation packages for corporate CEOs. The trend is not only a risk to the companies but also to the public.

Summary

  • Company leaders like Elon Musk, over the years, have gained increased compensation packages.
  • The board can derive high compensation from the need to retain outstanding CEO talent.
  • Nonetheless, the colossal compensation gap is a risk to the organization’s finances, other employee morale, and productivity in general.
  • Compared to notable athletes like Lebron James, CEOs continue to lead in compensation packages in the US.
  • The high compensation packages threaten company finances, production, and change in norms and values in society.

References

Anderson, S. (2019). Executive excess 2019. Making corporations pay for huge gaps. Web.

Badenhausen, K. (2021). NBA highest-Paid players: LeBron James career earnings will hit $1 billion in 2021. Web.

Melin, A. (2021). Elon Musk outrageous moonshot award catches on across America. Bloomberg. Web.

Mohan, B., & Norton, M. I. (2018). Consumers care about CEO-Employee pay ratios. The Wall Street Journal. Web.