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✓ Published: 18-Jun-2024
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✓ Published: 18-Jun-2024
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The median CEO pay at S&P 500 companies has surged by 12% in 2024, outpacing the 4.1% growth in average U.S. wages. Elon Musk's $56 billion package epitomizes a trend of seemingly unlimited executive pay, contributing to deeper societal divisions. This trend of escalating executive pay is partly driven by firms' efforts to retain their leaders, who might otherwise be tempted by competitor offers, as noted by Robin Ferracone, CEO of Farient Advisors. However, not all companies have succeeded with this strategy; firms like Peloton and Nikola have granted substantial stock awards to their CEOs only to see their stock values decline.
The median CEO pay at S&P 500 companies has surged by 12% in 2024, outpacing the 4.1% growth in average U.S. wages. Elon Musk's $56 billion package epitomizes a trend of seemingly unlimited executive pay, contributing to deeper societal divisions. This trend of escalating executive pay is partly driven by firms' efforts to retain their leaders, who might otherwise be tempted by competitor offers, as noted by Robin Ferracone, CEO of Farient Advisors. However, not all companies have succeeded with this strategy; firms like Peloton and Nikola have granted substantial stock awards to their CEOs only to see their stock values decline.
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