4/10/2006

Cracking Down on CEOs Compensation

Due to the rules and regulations the CEO’s and other high executive’s salaries and bonuses are a hard number to figure out. On the books, CEOs and other executives usually make less than a million dollars because of the tax write-off the government gives. But the problem is executives make much more money than that through bonuses and other compensation plans. The SEC is trying to crack down and make the rules clearer to see the whole price of the compensation. I believe that companies can give their executives any amount of money they want but it should be easier for the investor to see the number.

2 comments:

Jer said...

When you list your pay, do you feel like you need to list all of the components of your compensation, or do you feel like you only need to list dollars per hour? I think that CEO's can be paid whatever the market supports. Yeah, it seems that getting on the company golf course, flying around the globe in the company jet, and multi-million dollar annual bonuses is really not fair - but don't tell me that none of you wouldn't take that cush job.

Dr. Tufte said...

-1 on Will's comment for grammatical errors.

-1 on Seth's comment for spelling errors.

I think this is voyeurism. Most people don't like to reveal their compensation. Why should we impose this requirement on folks at the top of a particular heap?