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> That said, these decisions are usually made by a board, which is small and has limited knowledge. The board is usually made up of other executives or former
by Jensson 3y ago
> That said, these decisions are usually made by a board, which is small and has limited knowledge.
The board is usually made up of other executives or former executives. This group sets each others salaries unlike all other professional categories.
- denton-scratch 3y agoAs far as I can tell, CEO remunerations are determined by "the going rate"; and the directors on the remuneration committee are fine with that, because they're also CEOs for some other firm, or hope to be. So the going rate goes up, up, up. Now, here in the UK, the remuneration of University heads (Principal, Master, Dean, or whatever title) are having their pay determined by the going rate for CEOs. These are people who do the job for a couple of days a week; they aren't exactly struggling to get on top of the workload. Same for the bosses of the jungle of pseudo-companies that make up the modern NHS; they're all basically employed by the taxpayer. They've employed so many managers that their organizations are hopelessly top-heavy, and yet they need huge remuneration. Can they not delegate? I thought the ability to delegate was an essential skill for any manager.