If you are a Tesla (NASDAQ:TSLA) shareholder or you follow the news about the company, you've almost certainly read headlines over the last couple of days about Elon Musk's new potential $55 billion salary package, consisting of stock and awards. This salary package was voted on and confirmed by shareholders on Wednesday of this week, with a reported 73% of shareholders voting in favor of granting this package. READ MORE
Facebook CEO Mark Zuckerberg lost $10 billion in wealth this week
The scandal surrounding Facebook, the data mining firm Cambridge Analytica and the mishandling of people's private information is hitting close to home for Mark Zuckerberg.
The Facebook co-founder and CEO lost more than $10 billion in wealth this week as shares of the social network giant tumbled almost 14% in five days. READ MORE
Big bonus bucks on the line for Sweet 16 coaches
Florida State men’s basketball coach Leonard Hamilton has one of the most lucrative incentive plans in college sports.
If the Seminoles don’t win another game in the NCAA tournament, he is going to end up with more money in bonuses this season than many small- to mid-major conference coaches are getting in basic compensation. READ MORE
How New Tax Laws Could Affect Your Bonus
High-level employees in the U.S. accustomed to receiving bonuses should expect some changes in their compensation packages under the new tax law, either in how they’re paid or how they’re taxed—or both.
This isn’t necessarily bad news—executive pay is likely to continue to rise as it has for decades—but it may require extra planning to ensure compensation is maximized and tax surprises are limited. READ MORE
Where Is Our Incentive Pay?
The CEOs of America’s biggest companies saw their median pay rise to $11.6 million last year, an all-time high. Of course, stock values are hitting all-time highs as well. These huge pay packages are a reward. So what about the rest of us? READ MORE
Director Equity Award Limit in LTIPs: How Companies are Addressing it this Proxy Season
This proxy season has revealed an intensifying trend to address limitations on grants to non-employee directors in many long-term incentive plans (“LTIPs”). Based on a review of approximately 50 LTIPs submitted for approval this proxy season thus far by Delaware companies, a majority of such LTIPs now include a director-specific limit on the size of annual non-employee director grants and a handful generally permit grants only in pre-determined amounts as set forth in the LTIPs. READ MORE
Trump Administration Targets Federal Compensation
The Trump administration’s new management agenda, released earlier this week, has significant implications for federal pay and benefits.
The agenda frames the issue by noting that “it is important to appropriately compensate personnel based on mission needs and labor market dynamics,” something the existing compensation system fails to do. The document then repeats the fiscal 2019 budget proposal to forgo an across-the-board pay increase while realigning “incentives by enhancing performance-based pay and slowing the frequency of tenure-based step increases.” READ MORE
Equity Compensation Is Great. But Is It Leaving Your Investments Overexposed?
Your career offers you a lot of perks and benefits. Chief among them might be the ability to grow your wealth through special accounts, plans, and vehicles that can give you access to certain incentives and allow you to participate in the growth of your company.
That includes things like equity compensation and benefits like your 401(k). READ MORE
Tesla shareholders approve pay plan for Elon Musk worth up to $55 billion over 10 years
Tesla Inc. shareholders have approved a mammoth 10-year pay package for Chief Executive Elon Musk.
The package was approved by 73% of votes cast, according to a Tesla filing. Shares held by Musk and his cousin Kimbal Musk were not included in that total. READ MORE
New wage-gap data increases pressure on banks to justify CEO pay
It’s no secret that bank CEOs are paid handsomely. But how their compensation stacks up against workers further down the corporate ladder has been a mystery for years.
Companies have begun pulling back the curtain over the past few weeks, disclosing ratios that compare pay packages for CEOs with average workers’ salaries. The disclosures are required this year for all publicly traded companies, under a provision in the Dodd-Frank Act. READ MORE
Verizon’s retiree shareholders seek to block above-market executive pay
Verizon’s activist retirees have launched two proxy proposals on this year’s ballot for the annual shareholders' meeting in an effort to keep the telco’s executive management team more accountable.
One of the proposals calls to claw back earnings from executives whose conduct harms shareholders, while another prohibits above-market earnings for senior executives on certain retirement and deferred income accounts. READ MORE
Executive Compensation: Understanding the Tax Law’s Full Impact
On December 22, 2017, President Trump signed into law the Tax Cuts and Jobs Act, which amended certain provisions of the Internal Revenue Code of 1986. Bank boards and management teams should take time to familiarize themselves with these changes, as several amendments to the Code relate to the payment of executive compensation. READ MORE
Pension fund CalSTRS opposes Tesla's compensation package for Musk
U.S. public pension fund CalSTRS said on Wednesday it is opposed to Tesla's recommendation to support Chief Executive Elon Musk's compensation arrangement at the electric car maker's shareholder meeting.
The Silicon Valley billionaire's compensation package announced in January involves no salary or cash bonus but sets rewards based on Tesla's market value rising to $650 billion over the next 10 years. READ MORE
Government Needs to Rethink Employee Compensation Plans
The Office of Management and Budget is committed to improving government’s performance. But while reorganizing and eliminating unnecessary jobs could reduce costs, that does not necessarily lead to better results. Reorganizations actually tend to disrupt working relationships so, for a time at least, performance often declines. Real gains come from assembling essential talent, adopting management practices that encourage collaboration and focus on organizational goals, and empowering employees to proactively achieve goals. READ MORE
Wells Fargo's CEO is getting a 36% raise after the bank's nightmare year
At his own recommendation, Sloan isn't receiving a cash bonus, according to filings late Wednesday. The CEO cited "significant but incomplete progress on addressing compliance and operational risk-management issues."
That's one way to describe the series of scandals that have rocked Wells Fargo (WFC) for the past year and a half, prompting unprecedented sanctions in February from the Federal Reserve. READ MORE
Tesla's $2.6 billion stock award for Musk is too high: ISS
Why Voluntary Benefits Are Vital to Employees and Employers
Are employees satisfied with your company’s benefits? While three-quarters of HR professionals responding to a SHRM study said they believe employees are happy with benefit offerings, only 27% of employees reported high satisfaction. READ MORE
Treasury Mulls Applying Reasonable-Compensation Rules to Partners
The Treasury Department is considering whether it should apply reasonable-compensation rules—an idea used to keep S corporation owners from underpaying taxes—to partners and sole proprietors as well, in light of the new tax law. READ MORE
Elon Musk Inspires Boom-or-Bust Compensation Packages for CEOs
If Elon Musk can do it , I can too. Right?
That's apparently the newest mantra of corporate CEOs hoping to get their boards of directors and shareholders to approve a potentially enormous payday. What I'm talking about is companies modeling compensation packages after Tesla 's (NASDAQ: TSLA) performance award package for Elon Musk that may pay him $78 billion over the next 10 years . Now, Axon Enterprise 's (NASDAQ: AAXN) CEO, Rick Smith, is following with his own massive performance package that may misalign his interests and those of long-term shareholders. READ MORE
The top 15 companies for pay and benefits
It's a myth that workers' foremost concerns when looking for a job is finding a company that will offer fancy bells and whistles — bean bags, ping pong tables and craft beer. The truth is that for most workers, pay and benefits are what matters most. In fact, almost one-third of millennials say they would break up with their significant other for a raise. READ MORE