Wednesday, February 16, 2011

He used to make a dollar...

But that's all over now. Uncle Vik's salary (CEO of Citigroup), which used to be one dollar, now sits at a cool 1.75 million according to a U.S. Securities and Exchange Commission filing, which we all know has its own problems, but as far as I know keeping records of C.E.O.'s salaries isn't one of them.

4 comments:

cube said...

I don't get too upset over high CEO salaries if they've earned the high pay. It really burns me when they run the company into the ground and still expect the perks.

T. T. Douglas said...

Cube, Citi's stock has now hovered around the 4.5 dollar mark for way too long, while its competitors, who had similar track records during the meltdown, have made their way back. Pandit's leadership, in my eyes, has been innefecttive and has received lukewarm reviews in general.

I absolutely believe that when CEOs actually do the job and LEAD their companies effectively, they deserve every penny of their compensation. No argument there.

Emperor said...

Leadership is something hard to quantify. Essentially, you should be in competition with competitors who have similar effect on your firm, if given your position. The real question is, what value do leaders actually add...

If just a figure head, an actor can do their job, and cheaper.

T. T. Douglas said...

Agreed Emperor. Wouldn't that be an interesting experiment. Put an actor there for say, 6 months to a year, and see what the results on the firm would be.