10 outrageously lavish CEO perks
CEOs at Fortune 100 companies get nearly 5 times the money in extras -- including cars and drivers, jets and gyms -- that the typical US household earns in pay.
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When I was in B-school back in the 80's we spent a lot of time talking about our stakeholders. They were your stockholders, employees, suppliers, customers.....basically everyone your company touched. We were taught to consider all of them in our future careers as managers. Then at night we would have cocktails with corporate raiders and junkbond peddlers. It was like having an angel on one shoulder and the devil on the other.
30 years later guess who won? I never hear stakeholder anymore. It's only about what's the stock going to do in the next half hour. We went from a country with a long term perspective to one that lives for the minute. For those of you too young to remember, junk bonds were high risk bonds that investment banks loved to sell to finance hostile takeovers. Companies that had been well run for 100 years were systematically bought, chopped up, outsourced, looted and left as shells of their former selves. It was fine because it was going to keep us competitive with the rest of the world. Bullsh-t. We tore down our house and sold it for firewood. Now our jobs are all overseas and we are out in the cold.
As long as we only reward short term results without regard for the consequences, we are going to have these piranhas running the show.
We don't have a royal family in the US but we do have corporate royalty. That's really the best way to describe these guys and how they get to where they are. CEOs and board members are all in the same club. They sit on each others boards, they recommend each other for more lucrative gigs, they essentially take care of each other. It is like a big royal family. Once you are in it, you are set for life. Sure, you might screw up and have to be disciplined once in a blue moon but you're still in the family and you will never be poor again. The worst that will ever happen is that you get exiled to the family estate out in the country where you can grow old in luxury and not embarrass the family again.
I love these posts saying that these guys must be worth it or the shareholders would get rid of them. The stockholders have no more power over these guys than I have over the President, actually less. They only answer to their boards and the boards are beholding to them because they are all in the same club. The only time there is pressure is when another kingdom accumulates enough stock to overthrow you. 95% of the time, ownership is too fragmented for shareholders to have much say.
Also, if you notice, a lot of these perks were for security. While costly, it is a necessary expense for these guys. You don't make a lot of friends on your way up. You surely don't want to bump into anyone you fired, ruined, or screwed for the sake of your career advancement. So you need a lot of security to make sure someone doesn't kick your a-- or worse. All it takes is one guy from a closed plant with nothing to lose and you are toast.
These guys don't have the same sense of guilt most of us do. Frankly they couldn't sleep at night if they did. So taking a jet doesn't seem out of line if the people you run with have jets. Remember, they aren't comparing themselves to you, they are comparing themselves with other kings.
Now I respect the guys that start their own companies and build their own kingdoms. They earned everything they have. It's the second generation CEOs that piss me off. They were born on third base and think they hit a triple.
Is this a surprise to anyone? Upper level management of virtually every business is nothing but an exclusive whose primary objective is to steal (legally or illegally) as much money as they can get their greedy little hands on.
The 1% could have probably gone on indefinitely with the normal greed that they used to have, but then they started to want every last dollar in the world. Keep it up and the French Revolution II won't be far away.
i saw where a pro athlete had a $99 million contract, this person does opperate a company or hire employee's, and were all ok with it right! but a person who keeps a company going that provides jobs for tens of thousands does not deserve the same considerations as a person that hits a ball with a stick. love the logic, no surprise were going down.
One would think that if the boards were taking their jobs seriously they would find CEOs willing to work for less. These guys are NOT that much smarter than the average executive. They are just better connected. Of course when you can decide who's on the board and the board decides how much you get paid I think the problem is obvious.
Kind of like congress voting on their own pay increases, only much worse.
These greedy SOBs could care less! Here's the question, where's the Poll for raising taxes on people making $250,000 or more? Let's see it! Are they for it or against it? One would think by now at least one political talk show would mentioned it. If my income were in that category, I would be for it! Let's face it, people with those incomes have a tendency to blow big amounts of cash on leisure and "toys"! Basic necessities, like paying the electricity bill, groceries, heat, water etc.... are never a issue. For the middle class, these are burdens for most....however necessary. So..if a tax hike succeeds for the ones making a quarter of a million dollars or more...b-o-o h-o-o!
Clearly the article will sicken or should I say P--- off anyone who reads it.
However, a couple of other inequalities do exist; such as the perks our own state and federal government is given. Also, take a look at the so called sports industry that we as a society support and look at the ridiculous compensation packages these guys are receiving..
It's all crazy and not very fair but, in reality we the people support it because we do nothing about changing it.
Executive perk's, public pension's , irresponsible "family planning", escalating crime. One can clearly see it's only a matter of time. Uncle Barry, can you spare a dime ?
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