Executive Total Compensation Post-Global Depression

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https://www.forbes.com/sites/shelli...tion-is-out-of-control-what-now/#7fea22a5431f

Management guru Peter Drucker believed the proper ratio between a chief executive’s pay and that of the average worker should be around 20-to-1 as it was in 1965. The Economic Policy Institute (EPI), in a report last summer by Lawrence Mishel and Jessica Schieder, shows that CEO pay is and continues to be dramatically higher now. CEO pay in the US peaked in 2000 at $20.7 million (in 2016 dollars), 376 times the pay of the typical worker. In 1995, the CEO-to-worker pay ratio was 123-to-1; in 1989, it was 59-to-1; in 1978, it was 30-to-1; and in 1965, it was, as Drucker’s ratio would have it, 20-to-1.
 




“Myth 1: CEOs need high pay to motivate them to exceptional performance. If CEOs were not paid so well, they would not work as hard.

Reality: High achieving CEOs will work hard whatever they are paid.

“Given our understanding of human motivation,” he writes, “the kinds of people interested in the corporate game tend to be high achievers. And most CEO-types fall into this category. From my experience working with these people, they will work hard regardless of salary It’s very unlikely that cutting CEOs’ pay would affect the bottom line.”

https://www.forbes.com/sites/shelli...tion-is-out-of-control-what-now/#7fea22a5431f
 




Myth 2: Large CEO salaries reflect market demands for a CEO’s unique skills and contribution to the bottom line.

“According to this argument, talented CEOs possess impressive but very scarce leadership skills,” Kets de Vries believes. “Generous pay packages merely represent the market forces of supply and demand. If there was an oversupply of people with such unique qualities, market forces would bring their salaries down.“

Reality: CEOs are not that exceptional and it's almost impossible to measure their singular contribution to the bottom line. .. most CEOs aren’t that exceptional. Rare are those who have the impact of a Steve Jobs or a Bill Gates.
 




anonymous said:
Myth 2: Large CEO salaries reflect market demands for a CEO’s unique skills and contribution to the bottom line.

“According to this argument, talented CEOs possess impressive but very scarce leadership skills,” Kets de Vries believes. “Generous pay packages merely represent the market forces of supply and demand. If there was an oversupply of people with such unique qualities, market forces would bring their salaries down.“

Reality: CEOs are not that exceptional and it's almost impossible to measure their singular contribution to the bottom line. .. most CEOs aren’t that exceptional. Rare are those who have the impact of a Steve Jobs or a Bill Gates.
Click to expand...

No true words. CEOs are not exceptional. Most are easily replaced. Most are significantly overpaid. Fly your flag.
 




anonymous said:
Myth 2: Large CEO salaries reflect market demands for a CEO’s unique skills and contribution to the bottom line.

“According to this argument, talented CEOs possess impressive but very scarce leadership skills,” Kets de Vries believes. “Generous pay packages merely represent the market forces of supply and demand. If there was an oversupply of people with such unique qualities, market forces would bring their salaries down.“

Reality: CEOs are not that exceptional and it's almost impossible to measure their singular contribution to the bottom line. .. most CEOs aren’t that exceptional. Rare are those who have the impact of a Steve Jobs or a Bill Gates.
Click to expand...

A prominent leadership professor at the INSEAD Business School in Fontainebleau, commenting about executive pay, claims, “As things stand now, many CEOs earn more in a single workday that the average worker makes in an entire year.”
 




Research supports the assertion that excessive CEO compensation has a negative influence on society. David Callahan is not alone in declaring this era as a time where the cheating culture is growing like never before. Research suggests excessive CEO compensation contributes to the cheating culture in every aspect of society. Each stakeholder--from coworker to the international community--may be negatively influenced by the U.S. system of CEO pay packages. The mentality that earning potential has no limit in a capitalistic society fosters a cheating culture. CEOs have enormous responsibility and should be compensated accordingly; however, 531-to-one wage ratios are not justified.
 




Rising Executive Compensation Levels: Empirical Data
Executive pay has continued to rise considerably since the 1960s, as the following points demonstrate:
  • The Economic Policy Institute calculates CEO compensation grew by 937 percent between 1978 and 2013, compared to 10.2 percent for a “typical employee’s” compensation (Mishel and Davis 2014).
  • In the U.S., the average CEO-to-worker compensation ratio increased from 20 to 1 in 1965 to 295.9 to 1 in 2013 (Mishel and Davis 2014).
According to the deontological theory, the principle of fiduciary duty is a moral principle we are obliged to follow. We can therefore, examine the ethics of compensation using this principle.
What do you think the conclusions of this moral examination might find in 2020 at BMY, Giovanni Caforio?
 




Regarding this topic,
Giovanni Caforio - Why is it you have the intellectual honesty to pursue company specific research goals; but would not dare question in the board room what should be questioned. Questions you based on real data, removal of false assumptions and collective collusion regarding unethical, total compensation?

Because at the end of the day, the game is to enrich you, not to save others. You live a lie each day wrapped in the illusion of excessive value.
 




True words simply sound harsh. They resonate.

[Because at the end of the day, 'the game' is to enrich BMY executives, not save others. They live a lie each day wrapped in the illusion of excessive value.]
 












Anyone a Beatles fan well remembers the song, Piggies. And its lyrics speak well through analogy to pure gluttony and avarice.

Well, Giovanni is the same camp as such select few. The only difference is his soldiers of fortune are typically paid a bit better than this other guy named, Larry Merlo, ceo of CVS. Another imbalanced healthcare company. Merlo was named as the eighth highest paid CEO in the United States by CNN Money in 2014. At that time, his total compensation was a whopping $22.9 million. Although it hasn’t risen much since then, he’s not getting hurt with a compensation package that is valued at $23 million a year. When compared to the salary of an average CVS employee, earning $28,700 per year, he earns more than 422 times as much.

This isn't liberal or democrat propaganda. The facts are executive compensation in America has hit an all time high in disparity. The very ethical fabric and moral integrity of our society is very much at stake. No little managers meeting talking about integrity is going to change what needs changed. Leadership, executive councils, boards have to recognize they are in fact, "pigs" or "pig" facilitators and change back into humans with true decency, humility, sense of fairness and genuine goodwill....that will in fact, mean they eat less bacon.
 












On a serious note,

Giovanni,

If you can in fact with proof bring the tangible collaborative energy seen in SARS-CoV-2 (Covid-19) vaccine and therapeutic development race to cancer research and product; we the board, will grant you a $75,000,000 million per year salary and stock options that will make you incredibly richer than you already are.

But, you have to prove that you actually drove the collaborative process that resulted in tangible, rapid advancements in cancer research and ultimately, cures or highly effective therapeutics. You can do it, your an exceptional Chairman of the Board and CEO at Bristol-Myers Squibb.

We will give you five years starting August 1, 2020. But you need to take a 80% cut in your current salary, no bonus with standard stock exercising "rights and privileges" and various perks maintained. So, you shouldn't starve.

>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>
“I have never seen the level of collaboration that’s going on today,” said Giovanni Caforio, CEO of Bristol Myers Squibb, Tuesday at Fortune’s virtual Brainstorm Health conference.

“Think about the fact that when experts talk about a vaccine or an antiviral, we’ve always thought about five or 10 years,” Caforio continued. “Now we’re talking about a year or two.

“So how do we take what we’ve learned in the last six months and apply it to cancer?”
 




News many saw around 7/14/20. Importantly, don't get me wrong. This is a GREAT thing that all companies, certainly, all those resource RICH like BMY, should strive for. But, WHY does this accreditation hold CEO within it's title? Its the CEO round-table like medieval times. The great warriors that they are, not.

Why do CEOs fawn and lavish great praise upon the leadership prowess of fellow CEOs these days? We know why? CEOs are least looked up too these days as their behavior in ALL THINGS does not equate to true depth of INTEGRITY in all circumstances. That absolutely includes how executives are paid in this age of legalized theft. You can not have it both ways, Mr. CEO.

Superb News for All Workers.
Global biopharmaceutical company Bristol Myers Squibb, based in Princeton, NJ, has earned the prestigious Global CEO Cancer Gold StandardTM accreditation for its ongoing commitment to reduce cancer risk for employees and their family members around the world.
 




anonymous said:
News many saw around 7/14/20. Importantly, don't get me wrong. This is a GREAT thing that all companies, certainly, all those resource RICH like BMY, should strive for. But, WHY does this accreditation hold CEO within it's title? Its the CEO round-table like medieval times. The great warriors that they are, not.

Why do CEOs fawn and lavish great praise upon the leadership prowess of fellow CEOs these days? We know why? CEOs are least looked up too these days as their behavior in ALL THINGS does not equate to true depth of INTEGRITY in all circumstances. That absolutely includes how executives are paid in this age of legalized theft. You can not have it both ways, Mr. CEO.

Superb News for All Workers.
Global biopharmaceutical company Bristol Myers Squibb, based in Princeton, NJ, has earned the prestigious Global CEO Cancer Gold StandardTM accreditation for its ongoing commitment to reduce cancer risk for employees and their family members around the world.
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Simple, it's sycophantic behavior by corporate executives. The adjective sycophantic is perfect for describing someone who uses flattery to get what they want. ... You see sycophantic behavior in Hollywood all the time, from red carpet interviews pouring flattery on movie stars to fawning autograph seekers. Now we see it here.
 




ceo_worker_ratio.png


And in the middle of a life-threatening pandemic, we will see where 2020 ends for TOTAL compensation for Giovanni and all his "executive leaders". What multiple is it this year? There is no moral or ethical justification for this societal degradation that this separation leads. From the average BMS employee to the top executives is a mountain of greed. Plain and simple. Greed.
 




We all should know the fix is now on to correct the "wrongs" of the past in so many ways. Isn't it ironic, things were always that way until they suddenly became urgent? Forget that most of these things will serve 'the mother ship' well in driving business long-term. But that aside, it's now:

Urgent need! Serious gaps! Clinical trial diversity acceleration! Global disparity! Drug prices and affordability for Blacks! Executive diversity imbalance!!! Gender imbalance!

The truth is these are things Giovanni and "leadership" knew were there all along. Now, in the face of such unfairness, blatant inequalities and unjust actions they have a new found conscience. Really?
  • Where was that conscious before?
  • Where was their moral compass long before some external precipitating event(s)?
  • And will it change the way they "pay themselves" at the end of the day?
  • Will they demonstrate a sense of just mindedness that permeates everything they have the power to do?Of course it won't, if it really "costs" them in some meaningful way. That would mean they have to "lose" in some meaningful, tangible way.
 




anonymous said:
We all should know the fix is now on to correct the "wrongs" of the past in so many ways. Isn't it ironic, things were always that way until they suddenly became urgent? Forget that most of these things will serve 'the mother ship' well in driving business long-term. But that aside, it's now:

Urgent need! Serious gaps! Clinical trial diversity acceleration! Global disparity! Drug prices and affordability for Blacks! Executive diversity imbalance!!! Gender imbalance!

The truth is these are things Giovanni and "leadership" knew were there all along. Now, in the face of such unfairness, blatant inequalities and unjust actions they have a new found conscience. Really?
  • Where was that conscious before?
  • Where was their moral compass long before some external precipitating event(s)?
  • And will it change the way they "pay themselves" at the end of the day?
  • Will they demonstrate a sense of just mindedness that permeates everything they have the power to do?Of course it won't, if it really "costs" them in some meaningful way. That would mean they have to "lose" in some meaningful, tangible way.
Click to expand...

We saw these quick, "on the road to Damascus" promotions a few short weeks ago (below).

Now let's see how our minority board members deal with executive leadership total compensation. Let's watch their total sense of fairness, social justice, moral integrity in everything they now have a voice to speak out on. Let's see what true character they have as a minority on our board? Or will they simply PICK & CHOOSE what "social" justice items to pound the board table on?
Could or can they give 'til it hurts, even a little bit in their new found, gluttonous Bristol-Myers Squibb board room?!

Or will they take every U.S. DOLLAR they can clutch now a part of the old, new gang?
  • Last month, Bristol Myers hired two new independent directors to its board — Paula A. Price and Derica W. Rice — taking it off the list of large companies lacking a single Black board member.
 




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