A discussion of the outrageously high salaries paid to executive officers of certain companies.
This paper discusses the outrageous salaries of chief executive officers, showing that most experts agree that the extreme salaries and bonus packages began during the boom years of the 1990s. The writer looks at the recent decrease in overall spending by companies, with the exception of of boardrooms across America regarding CEO benefits. On the other hand, the writer shows that some critics believe that, due to the fact that the United States is the leading participant in the new global economy, the right CEO in a company can make all the difference. The demand is huge, and the supply is small; therefore, companies are willing to pay for fear the CEOs will leave for another company.
“The high profile scandals or fraud and executive chicanery has tarnished corporate America. “The sputtering economy and sagging corporate profits pounded stock for a third-consecutive year.” But when it came to pain and suffering “most CEOs barely felt the downdraft last year” (Strauss, Hansen Pp). Based on an exclusive database analysis by USA Today and the Investor Responsibility Research Center, a corporate-governance watchdog, CEOs running 100 of the biggest companies in the United States pulled in median 2002 compensation of $33.4 million, essentially unchanged from 2001.”