CEO salary is booming! Just ask anyone in the mainstream business press. Sigh. If only.
For instance, The New York Times recently wrote: “Want to Make Money Like a C.E.O.? Work for 275 Years”
Actually, our annual deep dive on C-Suite compensation, just completed, finds private company CEO pay has largely flatlined. Median base salaries went from $244,000 in 2011 to just $250,000 in 2016. Bonuses, meanwhile, have edged up from $71,000 in 2011 to a projected $100,000 for 2017.
“Despite headlines that focus on the large and rapidly rising compensation packages of the CEOs of the largest public companies, the reality is that the vast majority of CEOs in the U.S. run small and mid-market privately owned companies—and most earn comfortable but not excessive salaries and bonuses,” says Wayne Cooper, executive chairman of Chief Executive Group, who runs the company’s annual survey.
Not everyone is stuck in the mud, however. In the top pay quartile, salaries jumped from $270,000 in 2011 to $350,000 in 2016 and are projected to hit $357,000 for 2017. Bonuses among the nation’s best-paid executives more than doubled over the period.
While The Times would have you believe it will take hundreds of years for the average worker to earn what his CEO would make, the reality is different. The Bureau of Labor Statistics pegs 2017 median earnings for all occupations at $50,620. Going off our numbers, this is a CEO-to-worker pay ratio of 7.14. A gap, to be sure (yes, people who run companies make a lot more than most people who work at companies) but hardly the story-topping 4,987x at Mattel for former CEO Margaret Georgiadis, who left the company after vastly underperforming the market.
Also, for the vast majority of America’s company chieftains, there’s been little pay recovery in this recovery. CEO salary has not up, similar to all employees. “Most companies remain cautious and are keeping a lid on salary inflation for all employees,” says Cooper, “including those in the corner office.”
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Chief Executive Group exists to improve the performance of U.S. CEOs, senior executives and public-company directors, helping you grow your companies, build your communities and strengthen society. Learn more at chiefexecutivegroup.com.
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1:00 - 5:00 pm
Over 70% of Executives Surveyed Agree: Many Strategic Planning Efforts Lack Systematic Approach Tips for Enhancing Your Strategic Planning Process
Executives expressed frustration with their current strategic planning process. Issues include:
Steve Rutan and Denise Harrison have put together an afternoon workshop that will provide the tools you need to address these concerns. They have worked with hundreds of executives to develop a systematic approach that will enable your team to make better decisions during strategic planning. Steve and Denise will walk you through exercises for prioritizing your lists and steps that will reset and reinvigorate your process. This will be a hands-on workshop that will enable you to think about your business as you use the tools that are being presented. If you are ready for a Strategic Planning tune-up, select this workshop in your registration form. The additional fee of $695 will be added to your total.
2:00 - 5:00 pm
Female leaders face the same issues all leaders do, but they often face additional challenges too. In this peer session, we will facilitate a discussion of best practices and how to overcome common barriers to help women leaders be more effective within and outside their organizations.
Limited space available.
10:30 - 5:00 pm
General’s Retreat at Hermitage Golf Course
Sponsored by UBS
General’s Retreat, built in 1986 with architect Gary Roger Baird, has been voted the “Best Golf Course in Nashville” and is a “must play” when visiting the Nashville, Tennessee area. With the beautiful setting along the Cumberland River, golfers of all capabilities will thoroughly enjoy the golf, scenery and hospitality.
The golf outing fee includes transportation to and from the hotel, greens/cart fees, use of practice facilities, and boxed lunch. The bus will leave the hotel at 10:30 am for a noon shotgun start and return to the hotel after the cocktail reception following the completion of the round.
