Many potential causes of overpayment have been identified: CEOs with too much power, inattentive boards of directors, conflicts of interest by compensation consultants, the use of stock options--the list goes on.
Some studies show the average CEO was paid $10 million to $15 million in 2005. This includes their salary, bonus, stock option gains, stock grants, and various executive benefits and perquisites.
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Mehul Bhesaniya, CEO/ Director
| 04 23 2010 09:54:54 +0000
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Yes I agree with you Mr.Janaki Ram. It is between the organization & the CEO and how they negotiate with each other. When the CEO is deserved for that it is ok. The CEOs are highly paid to bring results to the organizations. It is like sharing from the profits of the company. On the contrary, in case the CEOs are failed to bring the results required, they are shown the doors. Hence a CEO job is highly a risky one. all the CEOa are risk bearers.
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NATTERAJA R. ARIKRISHNAN, GM-Projects, Bentec Electricals & Electronics Pvt. Ltd
| 04 25 2010 11:35:19 +0000
While it is true some CEOs have been (and probably are still being) overpaid, one cannot ignore their contribution to the company's overall growth, public image, financial position, market value etc. Considering the burden of such huge responsibilities, a hefty pay package for them should not come as a surprise. Rather it should be looked upon as a just reward/compensation for the knowledge, experience, business acumen, and skills that he brought with him to contribute to the grwoth of the company.
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Prosenjit Purkait, Apparel/Garment Merchandising Manager, Fabstract Clothing India Pvt. Ltd.
| 04 24 2010 12:57:17 +0000
What you sow that you reap. The path they need to travel, the hurdle to cross-over, the muscles to tackle & the mental tension need to face with board of directors, the resources one is vested with & the output target set out ; all decides the package.
By
KALIYAMOORTHY , Oil & Gas Area Coordinator, Undisclosed
| 04 24 2010 12:52:39 +0000
Problem is in the capacity to pay. Also the deliverance mechanisms. I think that instead of a salary they can be paid some percentage of the Profit after Interest, Tax and depreciation: - the assignable and deployable funds. - Remenber the director of Titanic? That may give him some motivation
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V. Srinivas, Freelancer, Information Technology
| 04 24 2010 11:20:21 +0000
U GET WHAT U DESERVE... In this cut throat & calculative Business World... WHO WILL PAY MORE, IF U DONT DESERVE IT ? A CEO commands the business ship, navigates it thru rough waters, moves ahead in the right direction... and while He is doing all this, He is also carrying the weight of the entire Team alongwith. Anyone from the Team makes a mistake, the CEO is responsible. WHY SHOULD HE, NOT BE PAID WELL ? Happy Debating Friends !
By
Naushad H.L., Creative Director, MAD COMMUNICATION
| 04 24 2010 11:07:45 +0000
No, CEO's are paid the value THEY are able to negotiate, how they will be able to secure a proper profit, or a business strategy - how do you put a value on expectations? you make a guess, see what the CEO have done in the past and hope he/she can do the same for your company. So a CEO's salary is not too high, as the salary will reflect on the company's market value, how well the company is doing, and how well the company have done under the CEO's management. Further a CEO's salary is highly psychological. The higher salary, the higher expectations from board and investors and the faster you as an employee have to work, so make the CEO's sales and production target.
By
Ronni Marker, CEO/MD/Director, Avian Group Pte Ltd
| 04 24 2010 10:35:25 +0000
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