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Why Do Ceos Are Paid What They Are Worth

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Why Do Ceos Are Paid What They Are Worth
Are Paid What They Are Worth
No, Chief Executive Officers (CEO’s) are not paid what they are worth. Finding data to support this argument was rather difficult. Most of the data available supports the belief that CEO’s are overpaid. Data used to support the statement that CEO’s are paid what they are worth is from companies listed on the Standard and Poor’s 500 (S&P 500). The Society for Human Resources Management (SHRM) (2014) website suggests that not all CEOs receive multimillion dollar salaries. CEOs for companies such as Nike, EBay, and Starbucks have million dollar annual salaries, cash compensations, stock, and options (CNN, Money, 2013). These companies are part of the .002 percent that allow people to believe that CEO’s are overpaid.
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