
Disney heir calls on company to give 50% of exec bonus to lowest-paid employees - r0n0j0y
https://edition.cnn.com/2019/04/24/media/abigial-disney-executive-pay/index.html
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yostrovs
Disney heir should give up her unearned wealth to the poor. The guy she's
criticizing, that actually worked for his money, increased the value of Disney
by many billions.

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qazpot
Calling her wealth unearned is disingenuous. Are you saying that children have
no right to their parent's wealth.

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Mirioron
It's not that she doesn't have the right to the wealth, but that she didn't
work for it. The executive probably did.

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vertline3
It's the Disney machine that really generates the windfall. Sure Iger steers
the ship, keeps it from hitting the rocks, so it's worth compensating him
highly. I just think some nuance is there.

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danielscrubs
Is there any books about ceos that came up with ingenious ideas to steer the
company into profit that you would recommend? I’m interested in what a CEO
does that makes his/her so many times more worth than your average man. Not
being sarcastic just want to gain those skills.

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vertline3
I don't know either, but they seem to be Attorneys so they can navigate
complex laws, or Engineers (Alan Mulally). They also seem to be well
connected. What makes them compensated so highly is the large risk they
manage, they are expected to meet shareholder demands. That said, some of it
certainly feels excessive.

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danielscrubs
its interesting that they almost never have a large part of their salary
connected to bonuses like salespeople do. They take risks for others and it’s
an important job. But I do think it has more to do with culture.

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qazpot
I don't get this outrage over the pay ratio. This seemingly outrageous ratio
seems reasonable once you factor in the hard decisions that any CEO or top
level executives have to make. Their one mistake can have very drastic effects
on hundreds of thousands of employees.

When any company shuts down, the median employee is not blamed it is the CEOs
and executives who are blamed.

Companies do not pay CEOs for the hours they work, they pay them to take
critical decisions.

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JoeAltmaier
Everybody gets blamed when they make bad decisions. No different for the CEO.

Its hasn't been considered reasonable to earn 100's of thousands of times more
than most people. That's kind of the definition of excess, and is used
throughout history to illustrate societies gone haywire (despot kings,
religious wealth in the presence of poverty etc).

There are literally thousands of people who would line up to make those
critical decisions. They don't earn that much because of the market. CEOs earn
that much because the folks at a company that can write checks, write them to
each other.

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mruts
That’s not how public companies work. CEO compensation is determined by the
board and the board is elected by the shareholders. If a CEO makes a lot of
money, it’s because the owners of the company think it’s worth the money.

I work in finance and your buddy buddy old boys club isn’t true. Shareholders
want as much money as possible and the relationship between them and
management is often antagonist: many a CEO are laid out to dry every year by
investors.

As such, there’s only one reason why Bob Iger gets paid so much: because he’s
generated _tremendous_ value for shareholders over the years and the
shareholders want to incentize him to keep generated value.

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JoeAltmaier
Yet in the last couple decades we've seen this jump up an order of magnitude.
Don't think those board members aren't writing checks to one another, in that
company or a different one.

Generating value for the shareholders is a job, and can pay like any other
job. The reasons compensation for that has jumped up an order of magnitude has
more to do with tulips.

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lotsofpulp
If my goal was to advocate to pay employees more, I would just advocate for
increasing their pay. Why should it be restricted to 50% of executive bonuses?
Seems unnecessarily complicated, unless the goal was to attract headlines or
not affect the bottom line numbers.

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jdsully
Because a company cannot raise pay infinitely. This is explicitly a call to
rebalance pay away from executives and towards hourly employees.

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who-knows95
well, this is a breath of fresh air.

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bartimus
Yeah, sorry. Your income is at the bottom 11%. It doesn't qualify for the
bonus redistribution program.

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r0n0j0y
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