Bob Iger compensation for 2013

[sod4]

To get this thread back on track: While at face value this is an exhorbitant amount of money, compared to just the quarterly earnings (gross earnings reported at $45b) it is miniscule. His compensation is .076% of the earnings.

Someone earlier in the thread calculated that it would be a 1.7 cent dividend if his entire compensation went to the shareholders.

If it was all given to employees it would be an annual payraise of $206 (based on 166000 employees from forbes) which would be ~$8 pre-taxes. Keep in mind that most employees would recieve less than this. Upper management would likely recieve a proportionally larger amount.

 

[flynnibus]

That decision should be left up to......the stockholders.

Stock holders don't propose or approve dividends - they vote in/out the people who do.

 

[erstwo]

Count my husband and me, as well as our children, in as stockholders who are more than happy to see Mr Iger well compensated. My husband has been a stockholder since before he could walk, and he is happier this year than he's been in many, many years.
Welcome back to the blue chip elite Disney.

 

[ford91exploder]

A lot of great economic talk here!
Less we forget how incentives work....if you paid iger what many think he deserves he would tell you to pound sand....and every other high ranking official would do the same.

It's the same idea of minimum wage on the flip side. (Kills the incentive to hire) results in less people having a job at all and accelerates replacing jobs with technology and cutting hours.

And I'm equally sure we could replace them all with European/Chinese/Indian executives who would do a equally good job at far lower compensation levels which would leave more money to be distributed to the shareholders or to be used to expand or increase R&D efforts.

 

[ford91exploder]

Iger (and any other CEO) deserves whatever the Board of Directors decides to pay him. For the people with the attitude that "nobody deserves to make that much." Why not? It doesn't hurt anybody else financially except Disney Shareholders.

Many people have this idea that there is a "pie" of money and that when somebody is getting paid a lot, it takes income away from other people. That isn't how the world economy works. The total "wealth" of the world is always increasing.

You need to understand that the world economy is basically a made up system that attempts to place value on productivity (currency). If the "pie" model was true, population increase would have made every person destitute by now.

The other thing to understand is that the economy, in general, grows because people buy things that they don't really need. Evil rich people buy more of these things than common people. If everybody just purchased what they need to survive we'd be living like it was 1650 still.

Stop being jealous of other people's financial success. Money doesn't buy happiness and there are a lot of miserable rich people (hence the rate of substance abuse problems among celebrities). I'm not on the same planet of income level as a CEO and I don't want to be. I'm not willing to make the sacrifices to lifestyle and family that is required.

Stock price is very different from economic output from a company.

There is no envy at work here, A substantial portion of my compensation is stock grants and options, however it seems while US companies do well on the stock market they are constantly losing market share and shedding product lines which are subsequently bought up by non-US congomerates.,

I am far more concerned with economic performance of companies, Do they have the capital to invest in new products and service, what are their debt levels, what condition is physical plant in

Key example is A-B, Iconic company brews most popular beer in US, Management spent most of the time inspecting lint on their suits rather than scoping out new markets and product lines while InBev was looking for new markets. A-B went down without a whimper now a division of the Belgian conglomerate InBev

Westinghouse, Built everything from light bulbs to nuclear reactors, kept selling divisions so the stock price looked good, Then there was NOTHING left - all the old divisions except the broadcast group are still around but they are now divisions of non-US companies. Nuclear division belongs to Hitachi,

What is most interesting while the C level excutives at these companies had giant pay packages of 5M or more, the companies which bought them their C level executives generally had total compensation of <2M or less.

It would seem then from an economic standpoint that one of the key inefficiencies of US based companies is executive compensation and one of the first economies seen post-acquisition was in many cases hundreds of millions in cash freed for operations or debt service.

 

[asianway]

Why do people apologize for corporate bad behavior. Folks this is NOT your parents TWDC.

Attending the TWDC shareholders meeting is invitation only and is limited to a few hundred people from institutional investors with some individual holders selected by lottery.

In 2012 it was held in a small ballroom at the Westin in Kansas City.

It has been held in a remote location away from any major holdings for how long now? Over ten years I think.

 

[ford91exploder]

It has been held in a remote location away from any major holdings for how long now? Over ten years I think.

I know that, It's just that some believe that ordinary stockholders are welcome at shareholders meetings, these days they are not welcome especially since some of them may ask inconvenient questions and make motions from the floor which the BoD does not agree with at the same time forcing them to go on the record with the

This of course is one of the major issues with US corporate governance these days in that other than institutional investors who by definition have an interest in the status quo. stockholders have no voice in the companies they purportedly own.

As for non-binding resolutions what is the point anyway, And preselected slates of candidates for BoD`by the BoD, no the shareholders should be able to nominate whomever they so desire there does need to be some regulation on the actual slate like the name must have been nominated by at least X percent of shareholders to prevent those whose only interest is disrupting the process.

US Corporate governance had best reform itself quickly otherwise it may find that Congress will do it for them and the result will not be pretty or workable.

 

[Pumbas Nakasak]

Good on him. Getting a wedge for using other folks money to buy success. Who would pass that up. He probably worth 3 time that.

 

[JohnD]

No one deserves to be that rich!

He's a CEO. I would never make that statement. Once you start saying "no one deserves XXX" where do you draw the line?

 

[Pumbas Nakasak]

He's a CEO. I would never make that statement. Once you start saying "no one deserves XXX" where do you draw the line?

There seems to be no issues drawing lines at the other end of the scale.

 

[LuvtheGoof]

So if you do some research, you see that, in the not too distant past, a CEO made no more than 20 times what the average salary of a person working for that company made. e.g. if the average is 25,000, then the CEO usually did not make more than 500,000. Now, the margin is over 400 times the average salary! Bob Iger's pay is a whopping 557 times greater than the average salary that a Disney employee makes - $56,800 - according to payscale.com. I, for one, think that CEO pay has gotten way out of hand, and needs to be reined in. Oh, and just for comparison, Warren Buffet's salary is only 490,000 per year, or only 9 times his companies average. Maybe more companies should follow HIS lead! Oh wait, they won't, because the good 'ol boy network says that, hey make me CEO today, and I'll get you a CEO position over here, and we'll vote each other outrageous salaries, and laugh all the way to our private islands in the Carribean!

 

[Cesar R M]

So if you do some research, you see that, in the not too distant past, a CEO made no more than 20 times what the average salary of a person working for that company made. e.g. if the average is 25,000, then the CEO usually did not make more than 500,000. Now, the margin is over 400 times the average salary! Bob Iger's pay is a whopping 557 times greater than the average salary that a Disney employee makes - $56,800 - according to payscale.com. I, for one, think that CEO pay has gotten way out of hand, and needs to be reined in. Oh, and just for comparison, Warren Buffet's salary is only 490,000 per year, or only 9 times his companies average. Maybe more companies should follow HIS lead! Oh wait, they won't, because the good 'ol boy network says that, hey make me CEO today, and I'll get you a CEO position over here, and we'll vote each other outrageous salaries, and laugh all the way to our private islands in the Carribean!

the tax rates also were really high on the rich.
Seems they have lobbied their way and now all CEOS or high executives are on par of feudal lords.

interestingly back then.. the gov took a huge chunk of money but expend it back on highways, roads..etc..
a good cycle of "trickle down economics".

now most rich companies or individuals.. move the full glass somewhere in some tax heaven nation.

 

[Voxel]

the tax rates also were really high on the rich.
Seems they have lobbied their way and now all CEOS or high executives are on par of feudal lords.

interestingly back then.. the gov took a huge chunk of money but expend it back on highways, roads..etc..
a good cycle of "trickle down economics".

now most rich companies or individuals.. move the full glass somewhere in some tax heaven nation.

Luckily those place are getting few and far between. The Swiss are telling all Americans they have to close their accounts. http://world.time.com/2013/12/20/swiss-banks-tell-american-expats-to-empty-their-accounts/

 

[Tom]

Luckily those place are getting few and far between. The Swiss are telling all Americans they have to close their accounts. http://world.time.com/2013/12/20/swiss-banks-tell-american-expats-to-empty-their-accounts/

I better start getting my paperwork in order.

 

[John]

I've discovered over the years that there are some people who just like to argue regardless of the topic - and they don't really care one way or the other, they just like to stir the pot (and don't any of you replace pot with another word - I'm watching ). There are just some topics that make the arguments nastier than others.

HAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHA!!!!!!!!!

 

[ford91exploder]

So if you do some research, you see that, in the not too distant past, a CEO made no more than 20 times what the average salary of a person working for that company made. e.g. if the average is 25,000, then the CEO usually did not make more than 500,000. Now, the margin is over 400 times the average salary! Bob Iger's pay is a whopping 557 times greater than the average salary that a Disney employee makes - $56,800 - according to payscale.com. I, for one, think that CEO pay has gotten way out of hand, and needs to be reined in. Oh, and just for comparison, Warren Buffet's salary is only 490,000 per year, or only 9 times his companies average. Maybe more companies should follow HIS lead! Oh wait, they won't, because the good 'ol boy network says that, hey make me CEO today, and I'll get you a CEO position over here, and we'll vote each other outrageous salaries, and laugh all the way to our private islands in the Carribean!

Warren Buffet is a shining EXAMPLE of what a CEO should be.

 

[englanddg]

Right, but that doesn't account for his total compensation nor his net worth, which is often conflated for "salary" in these discussions.

 

[ford91exploder]

He's a CEO. I would never make that statement. Once you start saying "no one deserves XXX" where do you draw the line?

Exactly, Although I don't think the act of becoming a CEO of public company should enrich to the point that your descendents will never have to work again. A CEO is just another employee.

It's different when you are the FOUNDER of a company like Apple, Facebook or Twitter and the IPO makes you rich as you risked everything to create the company and at this point you collect the rewards for the risk taken.

A CEO of an existing company takes no risk, They are just a highly compensated employee.

 

[ford91exploder]

Right, but that doesn't account for his total compensation nor his net worth, which is often conflated for "salary" in these discussions.

Agree,

Net worth should not figure in, I always use total compensation Salaries,Def Comp,perks,Stock and Option grants

 

[GenerationX]

I think most of us can agree that people in certain occupations are overpaid, such as CEO, professional athlete, and internet forum moderator.