CEO Daily Brief – Nov. 4, 2010
November 4 2010 by ChiefExecutive.net
Americans Voted for Jobs, Economic Growth
Tom Donohue, president and CEO of the United States Chamber of Commerce, said this week’s election sent a powerful message to Washington: Focus on job creation and economic growth. Voters have resoundingly rejected more government spending, higher taxes, and more burdensome regulations that have caused crippling uncertainty for businesses and held back our economy.
He agrees with voters across the nation who clearly stated that a strong and vibrant private sector is critical to reviving our economy, creating jobs, and putting us on a path to long-term growth. Congress will have another opportunity to make restoring economic growth its top priority and, with more balance, they will have to work on a bipartisan basis to achieve it. This time, they must take advantage of it.
To read more of Donohue’s analysis of the election from the Huffington Post, please click here.
Former Business Leaders Turned Politicians Whitman, Fiorina and McMahon Spend Nearly $200 Million of Own Money on Campaigns
The expression is that money can’t buy happiness. Tuesday’s election results show it can’t always buy elections, either. Notable losers included three Republicans with extensive business leadership experience and a lot of money to spend on the campaigns. Meg Whitman spent over $140 million of her own money in a failed effort to replace Arnold Schwarzenegger as California’s Governor. Whitman’s personal spending spree set a record for American politics. The former eBay CEO lost to veteran politician (and former governor) Jerry Brown, who spent about $30 million of his own money, The SF Chronicle reports. Linda McMahon spent over $46 million of her family’s fortune in an unsuccessful effort to replace retiring Connecticut Senator Chris Dodd, according to OpenSecrets.org. The former World Wrestling Entertainment CEO lost to Connecticut Attorney General Richard Blumenthal, who spent around $6.2 million in total, including $2.3 million of his own money. And Carly Fiorina spent about $5.5 million of her own money in an unsuccessful effort to unseat California Senator Barbara Boxer, according to Open Secrets. Overall, the former Hewlett-Packard CEO was outspent by her opponent, $24.8 million to $16.6 million as of mid-October.
But other wealthy business leaders were more successful. Former Columbia HCA CEO Rick Scott, who spent about $73 million of his own money, won his bid to become Florida’s next governor. Also, Wisconsin businessman Ron Johnson, who spent about $8 million of his own money, defeated veteran Democratic Senator Russ Feingold.
For more from Yahoo! Finance, please click here.
What Is Best Response to Critics of CEO’s Pay Rise?
News that total earnings for directors of FTSE 100 groups rose 55 percent last year has sparked renewed criticism from UK employees, the public and shareholders about remuneration and performance. How should companies respond? Compensation expert Sophie Black says the 55 percent increase is headline grabbing but one must dig a little deeper to understand the true story. This rise is almost entirely down to increased bonus and long-term incentive pay-outs based on companies’ improving performance, she said. That should be regarded as an indication that performance-based pay is working, Black says.
To read more from the Financial Times, please click here.