{"id":19,"date":"2022-03-04T23:23:27","date_gmt":"2022-03-04T23:23:27","guid":{"rendered":"https:\/\/blogs.oregonstate.edu\/bostrome\/?p=19"},"modified":"2022-03-04T23:23:27","modified_gmt":"2022-03-04T23:23:27","slug":"week-9-executive-pay","status":"publish","type":"post","link":"https:\/\/blogs.oregonstate.edu\/bostrome\/2022\/03\/04\/week-9-executive-pay\/","title":{"rendered":"Week 9 Executive pay"},"content":{"rendered":"\n

I definitely think that executive compensation is excessive. I feel that executives should be compensated for their larger share of work, but not to the point that some executives are. For many people, becoming a CEO or other executive position is the payoff resulting from a lifetime of hard work. This should come with a higher set of pay, but I think that when CEO’s start to get paid so much they lose touch with their workers then it goes too far. Jeff Bezos is a clear example of this. He shouldn’t be seen going up to space for 5 minutes with William Shatner while there are employees of his dying, working in a warehouse during a literal tornado because they can’t afford to lose their jobs. Examples like this are why I think executive compensation sometimes goes much too far. <\/p>\n\n\n\n

\"Why<\/figure>\n\n\n\n

Some factors that explain this rise in executive pay are that there’s no formula for what to pay a CEO, and people have different perceptions of what they should be compensated. It was mentioned in the video<\/a> that some people think there should be one or two people being paid much more than anyone else at a company. People think that because CEO’s and executives are so instrumental to an industry that they should be paid much more. Although, it was mentioned that there isn’t a correlation between CEO pay and higher profits. The video also mentioned that a factor of this could be a pay structure gone wrong. CEO’s could be receiving profits from the stock market that could and should be distributed to the employees in the company and shareholders. I also found the point in the video that the board is an important component of accountability in a business, and a lot of times the CEO or other executives will be on the board so they’re benefitting double. The final contributing factor to this as noted by Tom Wyman, contagious greed. <\/p>\n\n\n\n

\"\"<\/figure>\n\n\n\n

I think there should be a way to base specifically CEO’s pay based off of the lowest common denominator. Not like they make this much, but maybe something where they’re only allowed a certain percentage over their lowest paid worker. I understand that this would be controversial upon first glance. However, I think that this would close the increasing gap between employees and executives. This would also ensure that there’s never a CEO that is paid a million dollars a year and has no idea or care for what his workers salaries look like. CEO’s should have a special interest in all their employees. I think basing executive pay off of employees pay would ensure that all employees are compensated fairly, and that everyone<\/strong> at the company has a vested interest in each other starting from the top down.<\/p>\n\n\n\n

Sources: <\/p>\n\n\n\n

-, Wayne Cooper, et al. \u201cExecutive Compensation Mistakes: Stop Treating Everyone Equally.\u201d ChiefExecutive.net<\/em>, 29 Nov. 2018, https:\/\/chiefexecutive.net\/executive-compensation-mistakes-stop-treating-everyone-equally\/.<\/p>\n\n\n\n

\u201cExecutive Pay: The Issues.\u201d PBS News Hour<\/em>, PBS, 2002, https:\/\/video-alexanderstreet-com.ezproxy.proxy.library.oregonstate.edu\/watch\/executive-pay-the-issues-december-2-2002?utm_campaign=Video&utm_medium=MARC&utm_source=aspresolver. Accessed 2022.<\/p>\n\n\n\n

Manjoo, Farhad. \u201cWhy Jeff Bezos Should Push for Nobody to Get as Rich as Jeff Bezos.\u201d The New York Times<\/em>, The New York Times, 19 Sept. 2018, https:\/\/www.nytimes.com\/2018\/09\/19\/technology\/bezos-amazon-rich-concentration.html.<\/p>\n\n\n\n

Martocchio, Joseph J. Strategic Compensation: A Human Resource Management Approach<\/em>. Pearson Education, 2020.<\/p>\n","protected":false},"excerpt":{"rendered":"

I definitely think that executive compensation is excessive. I feel that executives should be compensated for their larger share of work, but not to the point that some executives are. For many people, becoming a CEO or other executive position is the payoff resulting from a lifetime of hard work. This should come with a… Continue reading Week 9 Executive pay<\/span><\/a><\/p>\n","protected":false},"author":12060,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-19","post","type-post","status-publish","format-standard","hentry","category-uncategorized","entry"],"_links":{"self":[{"href":"https:\/\/blogs.oregonstate.edu\/bostrome\/wp-json\/wp\/v2\/posts\/19","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/blogs.oregonstate.edu\/bostrome\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/blogs.oregonstate.edu\/bostrome\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/blogs.oregonstate.edu\/bostrome\/wp-json\/wp\/v2\/users\/12060"}],"replies":[{"embeddable":true,"href":"https:\/\/blogs.oregonstate.edu\/bostrome\/wp-json\/wp\/v2\/comments?post=19"}],"version-history":[{"count":1,"href":"https:\/\/blogs.oregonstate.edu\/bostrome\/wp-json\/wp\/v2\/posts\/19\/revisions"}],"predecessor-version":[{"id":21,"href":"https:\/\/blogs.oregonstate.edu\/bostrome\/wp-json\/wp\/v2\/posts\/19\/revisions\/21"}],"wp:attachment":[{"href":"https:\/\/blogs.oregonstate.edu\/bostrome\/wp-json\/wp\/v2\/media?parent=19"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/blogs.oregonstate.edu\/bostrome\/wp-json\/wp\/v2\/categories?post=19"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/blogs.oregonstate.edu\/bostrome\/wp-json\/wp\/v2\/tags?post=19"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}