Ceos Benefits

Richer get Richer

CEO’s are among Americas top paid workers. Over the past few years, there have been several controversial situations, in which CEO’s and company presidents have been put on the spot for their exaggerated salaries, and bonuses they receive on a yearly basis. Many of the CEO’s in place have done a poor job through their performance in the past few years as the economy has began to plummet, so why are these poor performers getting paid so much more then the average worker, when the performance of the lower division workers are being expected to increase their performance, when the highest division is lagging in their performance. I believe that most CEOs in the United States are overpaid, and there should be a movement towards regulating the salaries that these CEOs are making a year and the amount of bonuses they give themselves.

CEOs are seen as the cream of the crop, the best in business management and administration has to offer. They often have higher salaries then the rest of the employees, but why such an increase in salary? One of the CEOs that I will be discussing is Michael Jeffries, the CEO of Abercrombie’s. We all see Abercrombie and Fitch retail stores at almost every mall across America, we see their steep price tags, but we don’t realize that their stock is plummeting down every second at the stock market. In the last few years, since Michael Jefferies was chief executive of Abercrombie and Fitch, “retailers stock has fallen more than 71%.” (Michael) This significant fall has brought down Abercrombie’s stock value from “$79.97 to $23.07” (Michael) without a doubt Michael Jeffries is doing a poor job as chief executive. But why is he still among the top overpaid CEOs in America? Abercrombie's Michael Jeffries was “awarded total compensation of $71.8 million last year, with a base salary of $1.5 million, according to the Corporate Library”. (Michael) Clearly Jeffries is being overpaid for his poor performance. According to the...