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The dollar is not equal in all cities. In Morristown, Tennessee, $100 is worth $118. In San Francisco, it’s $83.
To understand what life looks like for people with the same salaries who live in different parts of the country, Fast Company spoke with four women in four very different regions to ask about how they’re doing financially. For context, we pulled cost-of-living numbers from GOBankingRates, circa June 2023. READ MORE
As Super Bowl LVIII looms on the horizon, the financial disparity between its two starting quarterbacks couldn't be more pronounced. Brock Purdy, the San Francisco 49ers' signal-caller, will face off against Patrick Mahomes of the Kansas City Chiefs at Allegiant Stadium in Las Vegas on Sunday, February 11. The contrast in their earnings is a stark reminder of the NFL's salary spectrum-from the league's Cinderella story to its highest echelons of quarterback compensation. READ MORE
The Office of Personnel Management on Friday set a deadline of October for agencies to comply with new federal regulations barring the federal government from using a job applicant’s salary history when setting their pay.
Earlier this week, OPM finalized regulations barring agencies from soliciting or otherwise relying on past compensation during the hiring and pay-setting process in most cases. The Biden administration also proposed similar rules this week that would ban the practice for federal contractors and subcontractors, though those would not take effect until at least April. READ MORE
An increasing number of people advocate being open about salaries as a way to fix pay iniquities and encourage employees to ask for more compensation, but there are many cultural and professional taboos around the practice. The Onion looks at the pros and cons of salary transparency. READ MORE
The largest compensation package in history was recently voided by a Delaware Court of Chancery judge, sending a message to corporate board members that it is their fiduciary duty to negotiate in good faith on behalf of investors. A key question for board compensation committees to ask, “Is it necessary to overpay to retain a company CEO?”
Judge Kathaleen McCormick determined that Tesla CEO Elon Musk’s 2018 10-year pay agreement that would have awarded him 12 tranches of Tesla stock options that would vest if the company’s market capitalization grew by $50 billion and revenue targets were reached was “unfair” to investors. The company’s market cap has grown from $50 billion in 2018 to more than $586 billion today (it briefly topped $1 trillion in 2021), which would mean Musk’s options would have vested. READ MORE
Two surveys from one consulting company have shed interesting light on the differing fortunes of executive pay and employee benefits.
WTW – which provides global risk advisory, insurance brokerage and consulting solutions – found that 81% of companies include ESG in their executive incentive plans, with climate rising rapidly through the ranks when it comes to compensation. READ MORE
You want your lawyer to be on your side. The more passionate they are, the better. If they’re so passionate they can’t control their emotions, though, you might be in trouble. That’s exactly what happened to Elon Musk in a recent court case. Todd Maron, former General Counsel for Tesla and the billionaire’s former divorce attorney, broke down crying over his love for Elon during a deposition about how much the billionaire got paid. READ MORE
Elon Musk almost certainly makes too much money as Tesla's CEO, but that's not the main reason a Delaware judge voided his pay package this week.
Why it matters: CEOs can breathe easy — their oft-criticized outsized pay packages are likely safe. READ MORE
Some employers ask applicants about how much they made at a prior job in order to establish their compensation for the new position. A number of states have recently adopted legislation that prohibits or limits the ability of employers to use an applicant’s pay history for purposes of setting the future hire’s compensation. These measures are based on the argument that if an applicant was discriminated against at a prior job, using that pay as a basis to set the new job’s compensation perpetuates that discrimination.
On Monday, the Biden administration announced new proposed regulations that would apply this prohibition to federal contractors and subcontractors. The proposal was included in a set of measures intended to commemorate the passage of the Lilly Ledbetter Fair Pay Act 15 years ago. Contractors would be prohibited from either asking about or using pay history when setting employee compensation. READ MORE
Many employees are struggling to pay their bills and the search for higher compensation is driving them to look for new roles. A new report by Achievers Workforce Institute, found that almost three-quarters of employees say they either struggle to make ends meet or must budget carefully in order to meet their needs. As living costs continue to increase and salaries see little change, compensation is playing a higher role in the search for new employment.
Sixty-five percent of employees say they have one foot out the door and 2 in 5 employees say they will actively look for a new job in 2024. Historically, the opportunity for career progression was the most common factor behind switching jobs. But in 2024, twice as many employees say they will look for a new role with the hopes of receiving better compensation. READ MORE
Several years ago, California clarified that equity-based compensation is considered includable remuneration, with a few notable exceptions. The National Council on Compensation Insurance (NCCI), which governs 35 other states, enacted similar regulatory and administrative changes effective January 1, 2024. This will impact workers’ compensation premiums for companies that use equity-based compensation to attract and retain employees in a competitive recruiting environment. READ MORE
A decision by a Delaware judge to throw out Elon Musk's $56 billion Tesla (TSLA) pay package is a threat to the wealth of the world’s richest man. It also could alter the way CEO compensation is decided at companies across America.
"It’s a big deal," said Cornell University visiting lecturer Brian Dunn, who noted this was the first case ever to overturn a board’s decision on compensation. READ MORE
The Employment Cost Index—the Fed’s key metric for wage growth that accounts for labor composition—slowed to the lowest level since June 2021, according to the Bureau of Labor Statistics on Wednesday.
The overall index eased to 0.9% in the fourth quarter on a seasonally adjusted basis, down from 1.1% in the previous quarter. That is equivalent to a 4.2% increase on a year-ago basis, down slightly from 4.3% previously. READ MORE
Last year, many tech professionals saw their salaries level off. Did that trend impact their bonuses?
According to Dice’s latest Tech Salary Report, 39 percent of tech professionals received a bonus in 2023, roughly consistent with 2022 (when 38 percent received one). The average tech professional’s bonus hit $15,011, up from $13,794 in 2022. READ MORE
The salary you earn can impact all aspects of your personal finances. A raise could spell the difference between being able to rent a larger place to live, affording a car, and other such things that can lend to a better quality of life.
In a recent Monster.com survey, 81% of workers say their current wage has not kept up with the rising cost of living. So if you're eager to see your salary go up, that's understandable. READ MORE
A pair of congressional Democrats on Tuesday introduced legislation that would provide federal employees with an average pay raise of 7.4% next year.
The Federal Adjustment of Income Rates Act, introduced by Rep. Gerry Connolly, D-Va., in the House and Sen. Brian Schatz, D-Hawaii, in the Senate, would provide federal workers with a 4.0% across-the-board increase in basic pay next year, as well as an average increase of 3.4% to locality pay. The measure has 59 cosponsors—all Democrats—in the House. READ MORE
With all the layoffs in the news we're seeing, there's always the question: Why don't the highly paid executives take a pay cut? Couldn't they trim their massive pay packages and save some jobs?
In my more than 40 years in business, including being the vice president of human resources for Microsoft, I've seen more than a few layoffs. This observation is a fair one. The executives in charge never seem to pay a price for the pain they cause, and here are several reasons. READ MORE
Compensation costs for civilian workers increased 0.9%, seasonally adjusted, for the 3-month
period ending in December 2023, according to a U.S. Bureau of Labor Statistics report posted Wednesday (Jan. 31).
Wages and salaries also rose 0.9% and benefit costs increased 0.7% from September 2023, the report noted. Inflation-adjusted wages and salaries increased 0.9% for the 12 months ending December 2023. Inflation-adjusted benefit costs in the private sector increased 0.2% over that same period. READ MORE
Elon Musk was dealt a major financial blow on Tuesday when a Delaware state court judge voided his $56 billion executive compensation package from Tesla.
The ramifications of the historic ruling started to emerge Thursday, when Musk said Tesla shareholders will vote on whether to change the state where the company is incorporated from Delaware Texas. READ MORE
Grocery employees at a pair of Florida supermarkets got underpaid by $901,625 by management that also committed child labor violations, the U.S. Department of Labor announced.
Labor said 75 employees at Sarasota’s La Primavera Supermarket & Restaurant and Fort Pierce’s La Primavera Grocery Store will get that money, which averages $12,021.67 per worker. READ MORE