Where We Stand Today On CEO Pay

1
Where We Stand Today On CEO Pay

• MGT 202
• Lindsay Pry
• Molly Fisher
• Kim Fox
• Chris Allen

2
Facts About CEO Pay

• Average CEO made 12.4 million in 1999
• Up 17 from previous year
• 475 times more than average blue collar worker
• U.S pays CEOs more than any country in the world
• 1,000 times more than the rest of the world
• State the main ideas youll be talking about

3
Pay For Performance

• Example of CEO paid for performance
• Richard D. Fairbanks, CEO of Capital One
  Financial Corp.
• Example of CEO with unjustified pay
• Michael Eisner, CEO of Walt Disney

4
Our Position

• Dont put a limit on CEO pay, just set a
  universal standard
• CEOs receive certain percentage of revenues
• Improve motivation of executive officers
• Bases salary on productivity and performance of
  the company
• Enforced by Congress, Board of Directors, or SEC