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EditorSpeak: What Are You Worth? |
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By Chris Petersen
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Friday, 21 September 2007 |
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Who wouldn’t want to make more money? Most people, of course, would be more than happy to take a job that provides them with a very comfortable living. However, when it comes to the subject of executive salaries, many people would lump them in the same category as professional athletes. File them both under "Overpaid," they might say. A Los Angeles Times/Bloomberg poll conducted last year found that 80 percent of Americans, regardless of their own income or political beliefs, believe CEOs simply make too much money.
It's hard to ignore the big paychecks prominent executives take home, but do the people grumbling about them have a point? In the first installment of a new feature in U.S. Business Review, we put this question to a number of the executives profiled in this issue: "Are today's chief executives overcompensated?"
The answers we received were not as cut and dry as you might expect. While many said CEOs and other executives truly earn their keep, others felt CEO salaries could do with some trimming for the good of the companies. Because it's not a simple "yes or no" question, with the potential for many differences of opinion, we've collected some of the most interesting responses to our poll and run them as a ticker through the bottom of our columns section. Each month, a new poll question will attempt to gauge the mindset of today’s executive decision-makers.
Many of those who said executives deserve their pay explained that the burden of responsibility gave them the right to expect it. Executives shoulder a heavy responsibility both to the company and the community at large, it’s true. In this month's Get Real column on page 128, the recent Utah mining tragedy serves as a sobering reminder of how the weight of your company rests entirely on your shoulders. Executives often enjoy the sweetest fruits of business when they succeed, but that sweetness is balanced against a bitter taste when they don't live up to their responsibilities. |