Tuesday, August 31, 2010

CEO pay at firms will now be compared

Companies Say New US Pay Law A 'Logistical Nightmare'

31 Aug 2010 - US companies face a “logistical nightmare” from a new rule forcing them to disclose the ratio between their chief executive’s pay package and that of the typical employee, lawyers have warned.

The mandatory disclosure will provide ammunition for activists seeking to target perceived examples of excessive pay and perks. The law taps into public anger at the increasing disparity between the faltering incomes of middle America and the largely recession-proof multimillion-dollar remuneration of the typical corporate chief.

S&P 500 chief executives last year received median pay packages of $7.5m, according to executive compensation research firm Equilar. By comparison, official statistics show the average private sector employee was paid just over $40,000.

Business sees the disclosure provision – buried in section 953(b) of the Dodd-Frank financial reform act – as a bureaucratic headache that may encourage false comparisons. {read more

I fail to see what the problem is, if one started getting gross amounts for compensation, in these executive suites, for what those actually doing the work outside of those suites, add in the many many company perks, need not spend much of that comp except on overpriced symbols of your vast wealth, why the whining! They should be more then happy, especially as to their ego's and much more! They're number one, our favorite saying!!!!

No comments: