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The gap is only part of the problem. I think the bigger issue is that CEOs will lay off employees to save $10M/year on wages, and the board will reward them wi

The gap is only part of the problem. I think the bigger issue is that CEOs will lay off employees to save $10M/year on wages, and the board will reward them with a $10M bonus. It's not theft, but I feel like it's theft.

FireBeyond 2y ago
> I think the bigger issue is that CEOs will lay off employees to save $10M/year on wages... ... and often spend another $5M in layoff expenses and severance...
wilg 2y ago
Can you give an example of where that happened?
- tubthumper8 2y ago
  Alphabet, Meta, Microsoft, Uber, Salesforce are some recent-ish examples https://abcnews.go.com/Business/ceos-pay-climbed-layoffs-tech-giants-alphabet-microsoft/story?id=101665156 https://abcnews.go.com/Business/ceos-pay-climbed-layoffs-tec...
  - Sohcahtoa82 2y ago
    It's the ultimate case of "Some of you may die, but that is a sacrifice I am willing to make."
  - wilg 2y ago
    Those are examples of layoffs in general, but the objectionable thing about OPs scenario is a layoff followed by an increase in the CEO or executive pay of around the same amount of value as was cut. I would expect CEO pay increases to cost less much less than a large layoff like these.
    - tubthumper8 2y ago
      > Alphabet CEO Sundar Pichai was awarded compensation worth more than $225 million in 2022, which marked a staggering 3,474% increase from the previous year, making him the nation's highest-paid CEO, according to Equilar data. If I did the math right, the increase was $218,500,000 and they laid off 12,000 workers (higher than the 10k predicted in the article) so the pay increase was about $18,200 per worker laid off. That's just the CEO, so unknown if other executive also received increases. Perhaps that's within your acceptable range, I'm not sure
      - Sohcahtoa82 2y ago
        I find it absolutely reprehensible to give a raise of any kind to the C-Suite while doing massive layoffs. If there's a massive amount of overhiring happening, then the CEO takes responsibility for that. It doesn't make sense to give a raise to someone doing a poor job.
imtringued 2y ago
When economists say that cutting wages boosts employment they seemingly forget that CEOs never cut their own wages and instead cut the wages of workers with the highest marginal utility for money.
blitzar 2y ago
You left off the bit where they have a pay freeze for all the remaining employees* to "keep control of costs" * excluding c-suite employees who have recieved a 50% salary increase this year
- euroderf 2y ago
  What part of neotechnofeudalism don't you get ?

FireBeyond 2y ago

> I think the bigger issue is that CEOs will lay off employees to save $10M/year on wages... ... and often spend another $5M in layoff expenses and severance...

wilg 2y ago

Can you give an example of where that happened?

tubthumper8 2y ago
Alphabet, Meta, Microsoft, Uber, Salesforce are some recent-ish examples https://abcnews.go.com/Business/ceos-pay-climbed-layoffs-tech-giants-alphabet-microsoft/story?id=101665156 https://abcnews.go.com/Business/ceos-pay-climbed-layoffs-tec...
- Sohcahtoa82 2y ago
  It's the ultimate case of "Some of you may die, but that is a sacrifice I am willing to make."
- wilg 2y ago
  Those are examples of layoffs in general, but the objectionable thing about OPs scenario is a layoff followed by an increase in the CEO or executive pay of around the same amount of value as was cut. I would expect CEO pay increases to cost less much less than a large layoff like these.
  - tubthumper8 2y ago
    > Alphabet CEO Sundar Pichai was awarded compensation worth more than $225 million in 2022, which marked a staggering 3,474% increase from the previous year, making him the nation's highest-paid CEO, according to Equilar data. If I did the math right, the increase was $218,500,000 and they laid off 12,000 workers (higher than the 10k predicted in the article) so the pay increase was about $18,200 per worker laid off. That's just the CEO, so unknown if other executive also received increases. Perhaps that's within your acceptable range, I'm not sure
    - Sohcahtoa82 2y ago
      I find it absolutely reprehensible to give a raise of any kind to the C-Suite while doing massive layoffs. If there's a massive amount of overhiring happening, then the CEO takes responsibility for that. It doesn't make sense to give a raise to someone doing a poor job.

imtringued 2y ago

When economists say that cutting wages boosts employment they seemingly forget that CEOs never cut their own wages and instead cut the wages of workers with the highest marginal utility for money.

blitzar 2y ago

You left off the bit where they have a pay freeze for all the remaining employees* to "keep control of costs" * excluding c-suite employees who have recieved a 50% salary increase this year

euroderf 2y ago
What part of neotechnofeudalism don't you get ?