The pay of executives of a company, whether in salary, bonuses or other types of remuneration, is usually justified as an incentive to improve the financial performance of a company. This has led to ever more complex performance packages with increasing percentage of variable, performance-based payments. But what is increasingly evident is that this definition of a role of an executive needs to change, as do the incentives, to act not only in the best financial interests of the company but to focus on how it serves the wider community.
Since late September, the Starwood Preferred Guest® Business Credit Card from American Express has been offering a different sign-up bonus than usual. While the card ordinarily offers a sign-up bonus of 25,000 Starpoints upon comple...
The rule, which grew out of the Dodd-Frank financial overhaul bill, says companies have to disclose whether executive pay tracks their financial performance. But it's unclear what impact it will have.
Morgan Stanley, the sixth-biggest U.S. bank by assets, will increase some executive salaries and double Chief Financial Officer Colm Kelleher's pay as bonuses come under scrutiny from the Obama administration and lawmakers.
If you think a bankrupt company that has spent the past year laying off 3,000 employees, cutting severance packages, and freezing salaries would adopt frugal executive compensation packages, think again.