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Tag >> pay
More data about eye-popping increases in CEO pay for 2010. According to Carol Bowie, head of compensation policy development at ISS Governance, the most significant factor in that increase was cash pay. ISS did an early analysis of 600 Russell 3000 companies' CEO pay disclosures where the same CEO was in place in 2009 and 2010. And it found that 81 percent of CEOs received cash incentive pay--short-and long-term payouts--in 2010. That's compared to 70 percent in 2009.
Innovation is all well and good. But if it's the lifeblood of your company, you'd better be willing to pay for it by way of hefty compensation for whomever is doing the innovating. In other words, innovation is expensive.
Raises are starting to make a comeback. Reports Wednesday that Google plans to give a 10 percent pay raise to all of its 23,000 employees in January reflects a wider trend. According to a new survey from CareerBuilder, 31 percent of employers said they are willing to negotiate 2011 salary increases with current employees even though the job market is still very tight and companies are still not exactly staffing up aggressively.
The workplace is a pretty darn unpleasant place to be these days. In case you hadn't noticed. That, at least, is the conclusion reached by two recent studies.
That's it. The argument is over as far as I'm concerned. This whole financial disaster revolved around one thing and one thing only: Compensation. There were many enablers to the crisis, but they were just avenues to an end. That end was getting paid. Paid gross amounts of money. And defending the ability to go after that end is the only fight left for banks now that the government has guaranteed their survival. I'm not trying to let anyone off the hook. Not the Federal Reserve, not Congress. But I just don't want to hear all the noise about pay not being the root cause.
It’ll be interesting to see how the Fed’s bold proposal to rein in banker pay will play out, but it’s hard to imagine much effective resistance. The scheme would keep payrolls at the 20 or so biggest banks under the government microscope and make an additional 5,000 smaller banks abide by compensation guidelines.
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