Discussion

Now that you’re a little bit familiar with the O*net from Module 1, I want you to use it to get some information to help you to answer the following discussion question. You know that CEOs make a lot of money, and that they are an important component of organizational leadership. However, the recent economic downturn saw some organizations take government bailouts at taxpayer expense, lay off employees, and still give large bonuses to shareholders and/or CEOs. The question is: are they worth it? Look at the O*net profile for chief executives (Use those words in an occupation keyword search) to inform your answers to the following questions:

(1) Are CEOs paid too much, or are they worth the high compensation packages they receive?

The summary report for the Chief Executives according to O*NET OnLine (Summary Report for Chief Executives, 2014), thus determines and formulate policies and provide overall direction of companies or private sector organizations within guidelines set up by a board of directors or similar body. Plan, direct, or coordinate operational activities at the highest level of management with the help of subordinate. CEO’s meet the needs of the organization, employees, shareholders, the law, and customers. They manage and lead the overall operations of the company, and makes the important corporate decision. CEO’s are highly compensated for their job because of the responsibilities they hold. Authors Sumo and Weitzman of Capital Ideas (Sumo & Weitzman, 2013) argued that CEO’s big paycheck are mostly determined by the demand for and supply of talent, and continues to note that if the market rate of compensation reflects what a CEO’s time is worth, CEOs are not overpaid but rewarded appropriately – or otherwise punished with pink slip. To make firm, the Bloomberg news article (Dexheimer, 2013) quoted Goldman Sachs spokesman David Wells, and I quoted, “We believe that our own framework for linking pay performance provides a more reliable and...