The Illusion Behind Rich CEOs Taking Little Salary: A Deeper Look into Executive Compensation
The Illusion Behind Rich CEOs Taking Little Salary: A Deeper Look into Executive Compensation Introduction In recent years, it has become a common narrative to hear about wealthy CEOs receiving a meager salary or even just a token one-dollar annual salary. This apparent selflessness can create the illusion that these CEOs are working tirelessly for the betterment of their companies and their employees, but there's more to the story than meets the eye. In this article, we'll explore the intricate world of executive compensation and unveil the illusion behind rich CEOs taking little salary. Stock-Based Compensation The primary reason behind many CEOs' low salaries is their substantial stock-based compensation packages. Instead of relying on a traditional salary, these CEOs are compensated with stock options, restricted stock units (RSUs), or performance-based shares. These incentives tie the CEO's wealth directly to the company's performance, aligning their interests ...