Latest news with #CEOcompensation
Yahoo
2 days ago
- Business
- Yahoo
Median CEO Pay Topped $17.1 Million In 2024, While Median Employee Pay Increased Just 1.7%
The typical compensation package for S&P 500 CEOs rose by nearly 10% in 2024, according to an Associated Press CEO compensation survey. The median pay package for CEOs rose to $17.1 million in 2024, up 9.7% from the previous year. Meanwhile, median compensation for employees at these companies went up just 1.7% to $85,419. Additionally, the S&P 500 rose 23% in 2024, and profits for those companies went up 9%. "2024 was expected to be a strong year, so the (nearly) 10% increases are commensurate with the timing of the pay decisions," Dan Laddin, a partner at Compensation Advisory Partners, told AP. Don't Miss: Maker of the $60,000 foldable home has 3 factory buildings, 600+ houses built, and big plans to solve housing — Deloitte's fastest-growing software company partners with Amazon, Walmart & Target – Many are rushing to Raises for the average employee were "long overdue," according to Institute for Policy Studies Global Economy Project Director Sarah Anderson. Still, many workers in the U.S. struggle to pay their bills, especially lower earners. Top earners in the survey included Axon Enterprises' (NASDAQ:AXON) Rick Smith, who has a pay package valued at $164.5 million, GE Aerospace's (NYSE:GE) Lawrence Culp, Apple's (NASDAQ:APPL) Tim Cook, Carrier Global's (NYSE:CARR) David Gitlin, and Netflix's (NASDAQ:NFLX) Ted Sarandos. The bulk of the pay packages for these top earners consisted of stock or options awards, the survey found. The median stock award went up by 15% in 2024, while base salaries only grew by 4%. Trending: Maximize saving for your retirement and cut down on taxes: . "For CEOs, target long-term incentives consistently increase more each year than salaries or bonuses," Melissa Burek, a partner with Compensation Advisory Partners, told the AP. "Given the significant role that long-term incentives play in executive pay, this trend makes sense." Morningstar Sustainalytic Senior Director of Stewardship Jackie Cook also told the AP that there are benefits to tying CEO pay to performance, but noted that increased use of share-based pay has led to a "phenomenal rise" in CEO compensation "tracking recent years' market performance," which has "widened the pay gap within workplaces." At half the companies included in the survey, it would take the average worker 192 years to make what their CEOs make in one year, according to the AP. This pay ratio tends to be highest in industries where wages are low, like fast food or hospitality. "With CEO pay continuing to climb, we still have an enormous problem with excessive pay gaps," Anderson told the AP. "These huge disparities are not only unfair to lower-level workers who are making significant contributions to company value – they also undercut enterprise effectiveness by lowering employee morale and boosting turnover rates." Read Next: Here's what Americans think you need to be considered Shutterstock Up Next: Transform your trading with Benzinga Edge's one-of-a-kind market trade ideas and tools. Click now to access unique insights that can set you ahead in today's competitive market. Get the latest stock analysis from Benzinga? APPLE (AAPL): Free Stock Analysis Report TESLA (TSLA): Free Stock Analysis Report This article Median CEO Pay Topped $17.1 Million In 2024, While Median Employee Pay Increased Just 1.7% originally appeared on © 2025 Benzinga does not provide investment advice. All rights reserved.
Yahoo
4 days ago
- Business
- Yahoo
Warner Bros. Discovery to ‘Significantly Reduce' David Zaslav's Annual Pay After Split
After shareholders rejected David Zaslav's $51.9 million pay package for 2024, Warner Bros. Discovery's says it will 'significantly reduce' CEO David Zaslav's annual compensation following the split of its global linear network and studios & streaming businesses in mid-2026 Per a Monday filing with the U.S. Securities and Exchange Commission, WBD will lower Zaslav's annual cash compensation opportunity and shift the mix in his pay towards long-term incentives. As part of this change, there will no longer be a performance metric weighting that applies to the annual cash incentive opportunity, annual performance equity awards or performance periods for the annual performance equity awards. Zaslav will also receive a one-time inducement designed to 'incentivize the successful completion of the Separation and stockholder value creation.' On June 12, he received a stock option award consisting of 20,898,776 stock options in the form of 60% performance-vesting stock options and 40% time-based stock options. Additionally, he'll receive 3,052,734 stock options on Jan. 2, 2026, which will be subject to the same split of performance-vesting and time-based vesting conditions, provided that he remains employed on that date. 92% of the stock option grant is subject to forfeiture if a separation or a qualifying transaction does not occur prior to Dec. 31, 2026. The compensation committee also adopted a 'double-trigger cash severance' provision for Zaslav in the event of a change in control transaction. 'The Committee believes the changes reflected in the Zaslav Agreement are responsive to stockholder feedback and represent the Board's commitment to furthering the alignment of our compensation structure with our strategic priorities as we execute on our transformation into two leading media companies,' Warner Bros. Discovery said. Upon completion of the separation, Zaslav will become CEO of Streaming & Studios. Under his contract that runs through Dec. 31, 2030, he will receive a $3 million base salary per year and his annual cash bonus opportunity will be reduced to $6 million, with the actual payout based on the achievement of performance goals set by the compensation committee. The annual bonus payout is subject to a cap of 200% of the target amount. Zaslav will also be eligible for annual equity awards with a target value of $15.5 million in the first year and will be reduced to an annual target value of $7.5 million per year thereafter. More to come… The post Warner Bros. Discovery to 'Significantly Reduce' David Zaslav's Annual Pay After Split appeared first on TheWrap.
The Guardian
5 days ago
- Business
- The Guardian
CEO pay at UK's top companies is 52 times that of typical worker, report finds
The chief executive of a FTSE 350 company is paid 52 times as much as a typical worker, according to the latest measure of inequality between bosses and their employees. Median pay for FTSE 350 chief executives was £2.5m last year, which works out at 52 times a median worker's pay, according to a new report from the High Pay Centre campaign group. The widest gap was found at the cleaning, security and waste management group Mitie, whose chief executive, Phil Bentley, was paid £14.7m, 575 times more than a middle-earner in the 2023-24 financial year. Tesco ranked the second highest for the same period among FTSE 350 companies legally obliged to report the figure. With a package worth nearly £10m, the supermarket's chief executive, Ken Murphy, was paid 431 times more than a typical Tesco worker that year. The most recent ratio, for the company's 2024-25 financial year, was lower, at a multiple of 373 as Murphy's pay fell to £9.2m. Luke Hildyard, the director of the High Pay Centre, said a maximum pay ratio between chief executives and workers could help ensure that all workers received 'a fair reward for their contribution to business success'. The pay-gap ratio was even starker among FTSE 100 companies, where the median pay of chief executives was 78 times higher than their median employees. When compared with the lowest-earning quartile, the multiple rose to 106. The High Pay Centre suggested all companies should be required to publish their CEO-to-worker pay gaps in their annual reports, and include pay figures for outsourced workers in their calculations. Its research found the pay-gap ratio between chief executives and workers had decreased in the past year, and that there had been growth in pay for the lowest-earning workers. However, the thinktank noted this could also have reflected changes such as a smaller workforce due to job cuts, outsourcing or relocation. Tensions have been growing in the City over big pay packages for chief executives. Last month Centrica, the owner of British Gas, faced a shareholder rebellion after it handed its boss a multimillion-pound pay packet while energy bill payers struggled with record levels of debt. Before the vote, the leading proxy adviser Institutional Shareholder Services recommended against supporting Chris O'Shea's pay rise as it 'was materially above those given to the wider workforce'. Elsewhere, the pay package of Marks & Spencer's chief executive, Stuart Machin, jumped to more than £7m just weeks before the cyber-attack that rocked the retailer. It marked a 40% rise compared with the £5.1m he took home a year earlier, partly as a result of a sharp rise in performance-linked bonuses. Sign up to Business Today Get set for the working day – we'll point you to all the business news and analysis you need every morning after newsletter promotion Bosses in the banking sector are also expected to get bumper pay packages this year after the removal of the UK banker bonus cap in late 2023. NatWest Group proposed a 43% increase in the maximum for its chief executive, Paul Thwaite, taking his total compensation to as high as £7.7m for the year. Meanwhile, his counterpart at Barclays, CS Venkatakrishnan, could earn up to £14.3m, a 45% increase. HSBC has suggested a 43% rise for Georges Elhedery, for a maximum payout of about £15m. A spokesperson for Tesco said its most recent pay-gap ratio reflected a remuneration policy for executive directors tied to the performance of the business. They said: 'We remain committed to a competitive and fair reward package for all colleagues. Earlier this year we announced a further increase in hourly pay rates, equivalent to an investment of more than £900m over the last three years.' A spokesperson for Mitie said its high multiple reflected a one-off award for its chief executive after the acquisition of another business, Interserve. They said: 'The acquisition saved 29,000 jobs, Mitie's revenues have more than doubled from £2.2bn to £5.1bn, and the share price has risen 125%. 'Our colleagues have also benefited from Mitie's strong financial performance during that time through the gifting of over £19m in free shares as well as £30m of value created for colleagues who participated in the 'save as you earn' scheme during that time.'
New York Times
06-06-2025
- Business
- New York Times
The Rich Compensation for Being the C.E.O.
Beating Wall Street's profit expectations is hard enough. Chief executives of major U.S. companies must also deal with issues like tariffs, climate change and diversity, equity and inclusion, with the Trump administration constantly changing the rules of the game. Being C.E.O. is a tough gig, no question. But the pay? It's fabulous. And it's so much better than what the rank-and-file will ever get. These days, it's particularly lucrative to be the C.E.O. of a company with government security ties, corporate executive compensation filings show. Take Alex Karp. He's the chief executive of Palantir Technologies, a data analysis and technology firm that has been in the news for helping the Trump administration collect and compile personal information on millions of Americans. Palantir also works for the U.S. military, police forces and U.S. Immigration and Customs Enforcement, as well as many other corporations. Palantir disclosed that Mr. Karp received $6.8 billion in 'compensation actually paid' in 2024, a figure bolstered by Palantir's soaring share price, which last year swelled the value of the stock and options awarded to him. That windfall made Mr. Karp the highest-paid chief executive of a publicly traded company in the United States last year, according to a survey done for The New York Times by the executive compensation research firm Equilar of all corporate filings through May. 'Compensation actually paid' is one of two major ways of accounting for chief executive pay required under the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010. It emphasizes the annual changes in the value of an executive's current and potential stock holdings and reveals the staggering gains of executives, often company founders, who have been granted substantial stakes in their enterprises. Top 10 Highest-Paid C.E.O.s by 'Compensation Actually Paid' The newer accounting measure emphasizes the annual changes in the value of an executive's current and potential stock holdings. Source: Equilar By The New York Times C.E.O. Pay on the Rise Chief executive pay increased last year, and the disparity with what employees are paid is the highest since companies began reporting this measure. Median chief executive pay $35 million 30 25 20 15 10 5 0 '17 '18 '19 '20 '21 '22 '23 '24 Median chief executive pay ratio Last year chief executive pay was almost 350 times that of their employees. 350 340 330 320 310 300 290 '17 '18 '19 '20 '21 '22 '23 '24 Median chief executive pay Median chief executive pay ratio Last year chief executive pay was 348 times that of their employees. $35 million 350 30 340 25 330 20 320 15 310 10 300 5 290 0 '17 '18 '19 '20 '21 '22 '23 '24 '17 '18 '19 '20 '21 '22 '23 '24 Note: Equilar did not produce a study in 2020 for pay in 2019. Source: Equilar Inc. By Karl Russell Top 15 Highest-Paid by Classic Compensation Accounting Publicly traded U.S. companies must disclose top executives' salaries, the value of newly granted stock and options and perks like personal security guards or corporate jets. Source: Equilar By The New York Times Want all of The Times? Subscribe.
Skift
02-06-2025
- Business
- Skift
Travel's Best Paid CEOs: Where They Rank
The pay for a dozen travel company CEOs in the S&P 500 attracted compensation greater than half of their peers in the S&P 500. How does the compensation of travel CEOs compare with peers in the S&P 500? The three highest-compensated CEOs of travel and travel-related companies in 2024 were Glenn Fogel of Booking Holdings ($44.8 million), Bob Iger of Disney ($41.1 million), and Uber's Dara Khosrowshahi ($39.4 million), according to the Wall Street Journal's annual survey of S&P 500 CEO pay. Fogel ranked 16th among all S&P 500 CEOs, Iger was 19th, and Khosrowshahi was 21st — placing all three in the top 25. We included Iger and Khosrowshahi in our list. Although Disney is a media and e
