Started By
Message

re: CEOs make too much money

Posted on 8/6/25 at 7:28 am to
Posted by the808bass
The Lou
Member since Oct 2012
125759 posts
Posted on 8/6/25 at 7:28 am to
quote:

This is a dopey comp because although I think we can all agree that athletes/actors are insanely overpaid, they are the workers who generate the money for the leagues they play in.


Not really. What’s the league minimum in the NBA? How many minutes are those guys playing?

It’s a completely accurate comp. If your company is generating billions, the leaders of the organization are going to be making millions.

A more interesting question is around market consolidation and leveraged buyouts.
Posted by TDTOM
Member since Jan 2021
24868 posts
Posted on 8/6/25 at 7:29 am to
quote:

they are the workers who generate the money for the leagues they play in.


....and a good CEO brings tremendous value to shareholders.
Posted by Sidicous
NELA
Member since Aug 2015
19296 posts
Posted on 8/6/25 at 7:36 am to
quote:

This whole Nation is infested with mindless victims.

Have you not seen the video evidence either from the internet or cable news in the last decade or so?

Everyone and everything is a victim of either racism, cronyism, nepotism. favoritism, or some other -ism. Circumstances are NEVER the result of choices made by the individual.
Posted by EasterEgg
New Orleans Metro
Member since Sep 2018
5336 posts
Posted on 8/6/25 at 7:39 am to
I tend to agree to an extent when it comes to publicly traded companies. The CEO of United Health, for example, doesn't deserve $60 million. That money should be going back into the company or to the shareholders as dividends. But for closely held companies, to each their own.
Posted by Bunkie7672
Member since Mar 2020
1075 posts
Posted on 8/6/25 at 7:40 am to
quote:

Not really. What’s the league minimum in the NBA? How many minutes are those guys playing? It’s a completely accurate comp. If your company is generating billions, the leaders of the organization are going to be making millions. A more interesting question is around market consolidation and leveraged buyouts.


So by that logic the top stars like Lebron and Curry should be paid even more than they are because that’s who the fans pay to see and watch. No one is shopping at walmart because they love the CEO.
Posted by SlidellCajun
Slidell la
Member since May 2019
16100 posts
Posted on 8/6/25 at 7:41 am to
You support a maximum wage?
Posted by SlidellCajun
Slidell la
Member since May 2019
16100 posts
Posted on 8/6/25 at 7:44 am to
quote:

LeBron double dribbles, walks and shoots a basketball and he is a billionaire.


Fify
Posted by Scruffy
Kansas City
Member since Jul 2011
76603 posts
Posted on 8/6/25 at 7:45 am to
quote:

That’s not the case for the CEO of a company.
Determined by who?

Is Musk worth the pay?

Was Bill Gates worth the pay he received? Hell, I think he pulled in $1 billion during one year at one point.

Steve Jobs?

The argument is always based around what someone is willing to pay.

Also, the as previously discussed, if you split the Walmart CEO pay among every employee, they would gain only a few $100 per year.

So, I’ll ask you, what should the CEO of a mega-corporation make?

The median CEO salary is only ~$200k anyway.
This post was edited on 8/6/25 at 7:46 am
Posted by Free888
Member since Oct 2019
2935 posts
Posted on 8/6/25 at 7:45 am to
The problem is there are a lot of mediocre CEO’s making ridiculous money.
Posted by TDTOM
Member since Jan 2021
24868 posts
Posted on 8/6/25 at 7:46 am to
quote:

No one is shopping at walmart because they love the CEO.


They are shopping there because of the CEO.

Oh, and his actual salary is $1.5M. The rest is stock and bonuses.
This post was edited on 8/6/25 at 7:50 am
Posted by baldona
Florida
Member since Feb 2016
23453 posts
Posted on 8/6/25 at 7:47 am to
quote:

The CEO of United Health, for example, doesn't deserve $60 million. That money should be going back into the company or to the shareholders as dividends. But for closely held companies, to each their own.



These takes are terrible. There's really one fact in this world, talent follows the money. If you want the most talented and capable, you have to be able to pay them. The most talented are going to find the ways to make the most amount of money.

By capping their pay, all you are doing is telling your staff that you don't want the best and that the best can go work elsewhere.

CEO and exec pay trickles down in that everyone is working to get closer to the top, doing a better job.

When you take away that hope, you are taking away the motivation for the best talent to work for you.

We could argue, that many of these top companies are at the top because the CEO's got them there.

ETA: Before you say, they don't need $50 mil a year when $25 mil is plenty. The simple response to that is they may not need $50 mil, but if they can make $30, or 40, or $60 or $75 mil somewhere else that is all the motivation anyone needs to either be there or be somewhere else.
This post was edited on 8/6/25 at 7:49 am
Posted by theliontamer
Baton Rouge
Member since Nov 2015
1875 posts
Posted on 8/6/25 at 7:47 am to
It is a nice carrot to make people work harder. But, the better employees will leave to try and climb the ladder.
Posted by Free888
Member since Oct 2019
2935 posts
Posted on 8/6/25 at 7:48 am to
quote:

The CEO of United Health, for example, doesn't deserve $60 million. That money should be going back into the company or to the shareholders as dividends.


This is a great example. Andrew Witty was a mediocre CEO at GSK, yet UNH paid him excessively.
Posted by LRB1967
Tennessee
Member since Dec 2020
22972 posts
Posted on 8/6/25 at 7:48 am to
quote:

Bernie Sanders posts here?


We know him as SFP on this board
Posted by Scruffy
Kansas City
Member since Jul 2011
76603 posts
Posted on 8/6/25 at 7:49 am to
quote:

The problem is there are a lot of mediocre CEO’s making ridiculous money.
How many is “a lot”?

Are you discussing only the s&p 500?

That means there are 500 of them out of 340 million Americans (we could do global population).

That is .000147%.

So, is that too many?

Define “a lot”.
Posted by stout
Porte du Lafitte
Member since Sep 2006
179803 posts
Posted on 8/6/25 at 7:52 am to
quote:

Also, the as previously discussed, if you split the Walmart CEO pay among every employee, they would gain only a few $100 per year.



It's not even a few hundred. I said earlier it was around $13, and it is


quote:

If Walmart's CEO Doug McMillon's $26.9 million compensation were divided equally among all 2.1 million Walmart employees, each employee would receive about $12.81 extra for the year.


That's one lunch at McDonald's.
Posted by Freauxzen
Washington
Member since Feb 2006
38457 posts
Posted on 8/6/25 at 7:54 am to
quote:

The average CEO of a top 500 fortune company makes $20-$30M. The average 20 year employee is making $80k-$150k.

Piggy backing of the trickle down economics thread. I’m not anti capitalist or pro communist, but I don’t see how some individuals are worth 300x more than a tenured employee that is producing value. Not burger flippers or pencil pushers, but engineers, accountants, sales reps, high performing individual contributors.

The CEO to employee ranking use to be 30:1 in the 1980s which I can understand but it is now approaching 300:1 in some companies. Seems like things are out of whack.

I don’t think government intervention is ever a good solution, but it does seem like a glaring issue with the wealthy getting wealthier and the upper middle class shrinking. $100k ain’t what it used to be.


Top 500 Companies.

Think about the rest.
This post was edited on 8/6/25 at 7:55 am
Posted by Scruffy
Kansas City
Member since Jul 2011
76603 posts
Posted on 8/6/25 at 7:54 am to
quote:

CEO and exec pay trickles down in that everyone is working to get closer to the top, doing a better job.
I disagree.

There are bad CEOs who are paid handsomely.

The only real argument here is that these individuals are paid what the companies believe they are worth and no one, beyond stockholders and employees, have any right to challenge that.

This entire argument is simply a smokescreen.

The amount the CEO of a major corporation is making largely has zero impact on the salaries of the 1000s of employees.

The argument should be that those at the bottom aren’t being paid enough, yet everyone spends time squabbling over how we should bring the pay of the CEO down.
Posted by Scruffy
Kansas City
Member since Jul 2011
76603 posts
Posted on 8/6/25 at 7:55 am to
quote:

Top 500 Companies.
Exactly.

Top 500

There are 33.2 million businesses in the USA.
Posted by Free888
Member since Oct 2019
2935 posts
Posted on 8/6/25 at 7:57 am to
quote:

Define “a lot”.


Probably at least 20% of the S&P 500, based on on performance of non mag 7 companies. That’s 100 CEO’s. And your argument as a % of population isn’t relevant. They are underperformers that are overcompensated, especially versus their staff. The solution should be highly correlated with long term stock performance, with a salary that is low millions max. Too many of the stock incentive schemes now are short term and are essentially grants that carry no risk whatsoever.

There are plenty of start up CEO’s that put up their own money as risk capital, face dilution, and wait for long term payoffs. I have much more respect for those CEOs.
This post was edited on 8/6/25 at 8:00 am
first pageprev pagePage 6 of 9Next pagelast page

Back to top
logoFollow TigerDroppings for LSU Football News
Follow us on X, Facebook and Instagram to get the latest updates on LSU Football and Recruiting.

FacebookXInstagram