Probably worth looking at Bob Diamond's recent pay levels. He's being suitably rewarded for how Barclays Capital have done in recent years (deferred stock) as well as selling his chunk of Barclays Global Investors. As far as CEO's go, he receives a relatively small base salary and also waived his bonus this year despite Barcap doing well.
executive pay
- Thread starter azamc
- Start date
Probably worth looking at Bob Diamond's recent pay levels. He's being suitably rewarded for how Barclays Capital have done in recent years (deferred stock) as well as selling his chunk of Barclays Global Investors. As far as CEO's go, he receives a relatively small base salary and also waived his bonus this year despite Barcap doing well.
Caporegime
- Joined
- 18 Oct 2002
- Posts
- 37,804
- Location
- block 16, cell 12
maybe you should look at - why do executives get a higher % bonus?
given that they will naturally have a higher salary, a set % across the workforce would still see them walk away with more cash - yet many will have 25%+ bonus built into their renumeration too...
given that they will naturally have a higher salary, a set % across the workforce would still see them walk away with more cash - yet many will have 25%+ bonus built into their renumeration too...
Permabanned
- Joined
- 10 Dec 2008
- Posts
- 4,080
- Location
- London
Easy.
If you get the amazing guy in, and pay him £20m salary, he will 99% likely make your company £50m profit.
If you don't get the guy in, you save £20m salary. (the bloke doesn't care, he goes and makes Barclays bank the £50m profit instead).
So what would you do? Get him in on his 'crazy' salary and walk away with £30m extra profit job done? Or not?
It really is as simple as that (and no, 'cheap' alternative £1m bloke won't manage to get you £50m profit).
If you get the amazing guy in, and pay him £20m salary, he will 99% likely make your company £50m profit.
If you don't get the guy in, you save £20m salary. (the bloke doesn't care, he goes and makes Barclays bank the £50m profit instead).
So what would you do? Get him in on his 'crazy' salary and walk away with £30m extra profit job done? Or not?
It really is as simple as that (and no, 'cheap' alternative £1m bloke won't manage to get you £50m profit).
Last edited:
The was an article about executives pay the other week (in the Guardian I think) saying that the pay has gone up a crazy amount over the last 20-30 years, I think 75% more than the bottom payed in the organisation was one figure
Contrasted with Japan were the top executives get on average just 5% more than the shop floor worker, and they seem to be doing OK
Contrasted with Japan were the top executives get on average just 5% more than the shop floor worker, and they seem to be doing OK
"
CEOs at Japan's top 100 companies by market capitalization earned an average of around $1.5 million, compared with $13.3 million for American CEOs and $6.6 million for European chief execs at companies with revenues of higher than $10 billion, according to an analysis of 2004-06 data by Towers Perrin, a Stamford (Conn.) human resources firm.
"
So from what you are saying a shop floor worker makes 1.425 million USD per year, I think I will move to japan and get a job in Tesco.