To combat a tight job market and a seemingly shrinking workforce, employers are looking for creative ways to retain and attract talent. An Earned Wage Access policy – a revolutionary employee benefit program that offers employees almost instant access to their pay – might just be what gives companies the edge. READ MORE
Study finds business school mainly teaches managers to keep wages low
As it turns out, going to business school may not be all that good for business.
A new study from the National Bureau of Economic Research released March 28 revealed that managers with a business degree are not significantly better at running a company than those without one. They were, however, less prone to raise wages. READ MORE
Young women are closing the gender wage gap in some U.S. cities, research shows
Though nationally women still earn 82 cents for every dollar a man makes, new data indicates younger women are now making strides in closing the gender wage gap in select cities across the country.
Pew Research published an analysis of Census Bureau data that found the gender wage gap is narrower among younger workers nationally and that the gap varies across geographical areas. In 22 of 250 U.S. metropolitan areas, women under the age of 30 earn the same amount as or more than their male counterparts. READ MORE
The hot jobs market could mean big gains for March payrolls and wages
The economy is expected to have added nearly a half million jobs in March and wage gains also likely picked up at a hotter pace.
Economists expect 490,000 payrolls were added, down from 678,000 in February, according to Dow Jones. The employment report, released at 8:30 a.m. ET Friday, is also expected to show the unemployment rate dipped to 3.7%, from 3.8% READ MORE
Why Biden’s billionaire minimum income tax may be a tough sell
President Joe Biden has proposed a new tax on the ultra-wealthy as part of his 2023 federal budget, aiming to reduce the deficit by about $360 billion.
Some experts say it’s unlikely to gain traction in Congress. READ MORE
CEO Salaries Tick People Off. So Why Isn't Executive Pay a Marketing Liability?
Those of us old enough to remember the financial meltdown of 2008 might also recall the final, disgraceful chapter of it. It wasn’t just that 9 million people lost their jobs; it was that the financial institutions that had traded all those securities based on subprime mortgages—and then been bailed out by the federal government—proceeded to dole out $20 billion in bonuses to their senior executives.
“That is the height of irresponsibility,” President Obama said early in 2009 in a rare moment of public choler. “It is shameful.” READ MORE
The COVID-19 Pandemic’s Fleeting and Lasting Impact on Executive Compensation
The 2021 proxy season was dominated by COVID-19. Close to half of Standard & Poor (S&P) 500 companies took some type of COVID-19-related action in 2020, including base salary reductions, modifications to incentive plan targets, and the grant of special awards.
Despite the significant upheaval in compensation, financial results, and stock price performance during 2020, shareholders supported 97.3% of Say on Pay votes among Russell 3000 companies through November 30, 2021, with strong average support of 92.2%. Sixty-two companies—or 2.7%—failed Say on Pay, including some large, “name-brand” companies. The reasons for these high-profile failures can be primarily attributed to several factors including the use of positive discretion in determining annual incentive payouts, modifications to in-flight long-term incentive (LTI) awards, grants of “out-sized” stock awards without a compelling rationale, and a disconnect between pay and performance. READ MORE
Annual reviews are dead. This is the future of performance management
Performance management has long been a key measuring tool for HR professionals – however, two years of working from home has shifted how employees are assessed. READ MORE
NYC Commission Issues Guidance Regarding Minimum and Maximum Salaries in Job Postings
The New York City Commission on Human Rights (NYCCHR) published long-awaited guidance regarding New York City’s salary disclosure law, which requires employers to post the anticipated “minimum and maximum salary” in job advertisements. The law, which was passed on December 15, 2021, and takes effect on May 15, 2022, requires employers to include a “good faith” salary range in any external or internal job posting, as well as a promotion or transfer opportunity. READ MORE
Equal Pay Day Heralds New Executive Order and OFCCP Directive
On Equal Pay Day (March 15, 2022), President Biden issued an executive order aimed at advancing the effectiveness in federal contracting by promoting pay equity and transparency in tandem with the U.S. Department of Labor’s Office of Federal Contract Compliance Programs’ (OFCCP) first formal directive (DIR 2022-01) during the Biden administration on pay equity in federal contractors. The directive addresses the OFCCP’s position on obtaining compensation related documents sought during the agency’s audits, which includes pay equity review. READ MORE
College degree doesn’t mean more money
Alternatives to four-year college degrees like trade and technology schools continue to rise in popularity as enrollment declines and young adults figure out that they can make more money without the hefty price tag of higher education. READ MORE
1 in 5 workers runs out of money before payday
From gas to groceries, soaring prices are straining households across the board.
More than three-quarters of working Americans said inflation has impacted their finances over the past year, according to a report by Salary Finance. READ MORE
The gender wage gap could cost women millions when they retire
The gender wage gap that plagues women during their working years also follows them into retirement, according to new analysis released Wednesday.
Government data show women earn an estimated 83 cents for every dollar earned by men. That adds up to a $10,435 gap in median wages every year. By the end of her career, a full-time working woman will have lost out on $417,400 of income. READ MORE
Why pay raises alone won’t help fill America’s 11 million open jobs
Millions of American are quitting and starting new jobs at record pace while openings remain at an all-time high, and employers are at a loss over how to solve the talent crisis.
Some 6.7 million people were hired into new jobs in February, according to the Labor Department’s latest Job Openings and Labor Turnover Survey, with the biggest gains happening in construction. READ MORE
Manchin Rejects 20% Tax For Billionaires
Sen. Joe Manchin (D-W.V.) said Tuesday he would not support President Joe Biden’s proposed “minimum tax on billionaires,” which would impose a 20% minimum tax on households worth over $100 million and would target unrealized gains, the second time in five months Manchin has opposed the administration’s efforts to realize a dramatic targeted tax increase on the richest Americans. READ MORE
Intel CEO earned 1,711 times average worker's pay in 2021
Intel Corp Chief Executive Officer Pat Gelsinger earned 1,711 times the average worker at the U.S. chipmaker in just 11 months since he joined in February last year, a regulatory filing showed on Wednesday.
Compared to Gelsinger, former CEO Bob Swan had earned 217 times more than the average Intel employee in 2020. READ MORE
Proxy Season 2022: Early Trends in Executive Compensation
The 2022 proxy season is now in full swing. Over the next two months, thousands of U.S. public companies will file proxy statements highlighting trends pertaining to their governance practices, including those related to executive compensation. In this post, Equilar examines a sample of early DEF14A proxy filings from Equilar 500 companies—the 500 largest U.S. public companies by revenue—as of March 18, 2022, to offer a preview of how executive compensation was structured in 2021, as well as key trends to watch through the remainder of proxy season. READ MORE
Top DEI staff at public universities pocket massive salaries as experts question motives of initiatives
Top diversity, equity and inclusion (DEI) employees at major public universities earn massive six-figure salaries for leading initiatives that some experts found to be ineffective and instead enforce a "political orthodoxy." READ MORE
Stock Based Compensation: A Comparison Of The Market's High Flyers
Stock based compensation admittedly is a rather dull topic, however in the current environment filled with unprofitable companies, high inflation and looming rate hikes, I believe it is certainly something worth talking about. READ MORE
Restricted Stock: A Key Element in Incentive Compensation for Bank Executives
For banks seeking to attract and retain the best talent, restricted stock has become a popular alternative for providing incentive compensation to bank executives. Restricted stock may take the form of either a restricted stock award (RSA) or a restricted stock unit (RSU). Both have significant retentive value, but they have important differences that affect the interest of the executive. READ MORE