Ceo’s and Upper Management’s Acceptance of over...

CEO’s and Upper Management’s Acceptance of over Compensation Are Unethical during Times of Financial Struggle within Organizations Financial Management Abstract This essay discusse s the overpayment of CEOs and the effects these high base salaries have on businesses. Understanding that well compensated CEOs are generally quite productive and well deserving; there are those that seem to drop the ball and the business suffers. CEOs are hired in with contractual compensation packages, which do not give stipulations to cover incidents such as decreases in stock value, company downsizing, or bankruptcy. Many argue that CEOs are not compensated enough for the pressures they endure, that they are generally they first to receive pay†¦show more content†¦The tremendous forfeitures that the housing and stock market are experiencing have in turn caused a credit calamity in America. According to the Institute for Policy Studies and United for a Fair Economy (2007), â€Å"last year CEOs of companies in the Standard Poor’s 500 index on average took in 10.5 million in pay, which was 344 times the average U.S. worker† (as cited in Reuters, 2008). If the government is going to ask tax payers to bail out the financial industry, the top executives of these mortgage institutions should be held responsible for getting these institutions back on track, and it should begin with compensation reductions not increases. Even after the economy does recover, these executives should not be able to regain the salary that they lost. According to Martha Graybow â€Å"Wall Street has become the focus of a rising populist anger as the sub prime and credit market problems have boiled over into an extraordinary taxpayer-funded rescue plan. Many executives whose firms have been hard-hit by the mortgage crisis have earned sizable pay. Richard Fuld, the chairman and chief executive of Lehman Brothers Holdings Inc., filed bankruptcy [early September 2008], was rewarded $22 million in fiscal 2007. Richard Ferlauto, director of pension and benefit policy at the American Federation of State, County, and Municipal Employees aske d â€Å"Why should executives who were well paid,Show MoreRelatedOverview of Hrm93778 Words   |  376 Pagestheir bachelor degree program. This course is designed to provide you the foundations of HRM whether you intend to work in HRM or not, most of these elements will affect you at some point in your career. Either you will be working with some organizations or having people working for you, in both cases you will be dealing with people. To be understandable and lively means that we need to communicate you. We start every chapter with learning objectives. The most important thing you will get out ofRead MoreFundamentals of Hrm263904 Words   |  1056 Pagesresources With WileyPLUS: Students achieve concept mastery in a rich, structured environment that’s available 24/7 Instructors personalize and manage their course more effectively with assessment, assignments, grade tracking, and more manage time better study smarter save money From multiple study paths, to self-assessment, to a wealth of interactive visual and audio resources, WileyPLUS gives you everything you need to personalize the teaching and learning experience.  » F i n d o u tRead MoreHbr When Your Core Business Is Dying74686 Words   |  299 PagesProcess Audit Michael Hammer 124 BEST PRACTICE Human Due Diligence David Harding and Ted Rouse 138 144 EXECUTIVE SUMMARIES PANEL DISCUSSION There are 193 countries in the world. None of them are energy independent. So who’s holding whom over a barrel? The fact is, the vast ma jor the few energy-producin ity of countries rely on g nations that won the geological lottery, ble ssing them with abunda nt hydrocarbons. And yet , eve of raw resources import n regions with plenty some formRead MoreManagement Course: Mba−10 General Management215330 Words   |  862 PagesManagement Course: MBA−10 General Management California College for Health Sciences MBA Program McGraw-Hill/Irwin abc McGraw−Hill Primis ISBN: 0−390−58539−4 Text: Effective Behavior in Organizations, Seventh Edition Cohen Harvard Business Review Finance Articles The Power of Management Capital Feigenbaum−Feigenbaum International Management, Sixth Edition Hodgetts−Luthans−Doh Contemporary Management, Fourth Edition Jones−George Driving Shareholder Value Morin−Jarrell LeadershipRead MoreStephen P. Robbins Timothy A. Judge (2011) Organizational Behaviour 15th Edition New Jersey: Prentice Hall393164 Words   |  1573 PagesBehavior This page intentionally left blank Organizational Behavior EDITION 15 Stephen P. Robbins —San Diego State University Timothy A. Judge —University of Notre Dame i3iEi35Bj! Boston Columbus Indianapolis New York San Francisco Upper Saddle River Amsterdam Cape Town Dubai London Madrid Milan Munich Paris Montreal Toronto Delhi Mexico City Sao Paulo Sydney Hong Kong Seoul Singapore Taipei Tokyo Editorial Director: Sally Yagan Director of Editorial Services: Ashley Santora AcquisitionsRead MoreOrganisational Theory230255 Words   |  922 Pages. Organization Theory Challenges and Perspectives John McAuley, Joanne Duberley and Phil Johnson . This book is, to my knowledge, the most comprehensive and reliable guide to organisational theory currently available. What is needed is a text that will give a good idea of the breadth and complexity of this important subject, and this is precisely what McAuley, Duberley and Johnson have provided. They have done some sterling service in bringing together the very diverse strands of workRead MoreCase Study148348 Words   |  594 PagesAlliance Doman Synthetic Fibres plc (B) Sony Corporation: Restructuring Continues, Problems Remain LEAX: Managing Through a Crisis Design and Development of Strategy Processes at RACC Consulting in MacFarlane Solutions NHS Direct: Managing in Difficult Times 235 254 257 264 270 276 281 285 289 295 299 307 311 317 322 326 329 335 340 345 350 353 357 4  © Pearson Education Limited 2011 Johnson, Whittington and Scholes, Exploring Strategy, 9th Edition, Instructor’s Manual Supporting resources