Tesla CEO Elon Musk (TSLA) is once again pushing for a pay package worth $56 billion, which originally was struck down by the Delaware Chancery Court earlier this year. Many CEOs are following in Musk's footsteps as, according to the Wall Street Journal, the number of S&P 500 CEOs to receive compensation above $50 million has risen to 36 in a period from 2019 to 2023. READ MORE
New Minnesota law will require salary ranges in job postings
Minnesota employers will be required to include salary ranges in job postings — a requirement lawmakers say will help improve pay equity for potential employees.
Companies with 30 or more employees will be required to include the minimum and maximum annual salary or hourly range of compensation, as well as a description of all benefits and other compensation in their job postings. READ MORE
Microsoft under attack from government and tech rivals after ‘preventable’ hack ties executive pay to cyberthreats
Microsoft has come under fire recently from both the U.S. government and rival companies for its failure to stop a Chinese hack of its systems last summer. One change the tech giant is making in response: linking executive compensation more closely to cybersecurity. READ MORE
Boeing shareholders approve CEO’s compensation as company faces investigations, possible prosecution
Boeing shareholders on Friday approved CEO David Calhoun’s $32.8 million compensation and heard leaders explain what the troubled aircraft maker is doing to improve the quality and safety of its planes after a door plug blew off a Boeing 737 Max jetliner in January.
Calhoun said the company is finishing a 90-day plan for fixing its manufacturing problems — a report the Federal Aviation Administration demanded after the door-plug blowout. READ MORE
Want to fix the accounting talent shortage? Raise starting salaries, students say.
The NPAG is looking to address the shrinking pool of U.S. accounting professionals that CFOs and finance department recruiters have been grappling with as they seek out staff needed to close books, complete audits, and make sure the company’s financials comply with GAAP and other regulations. READ MORE
What Buttons Are Tech Companies Pushing to Maximize Their Pay Programs?
Notwithstanding a persistent string of layoffs in the technology sector over the past year, attracting the right tech talent continues to pose challenges for employers. According to the findings from WTW’s 2024 Tech Pay Actions Survey (see Figure 1), 33% of respondents said it was “difficult” to find qualified candidates to fill open positions for tech-related jobs. For comparison, just 11% of respondents categorized the current talent acquisition environment as difficult for non-tech jobs. READ MORE
College degrees earned in these states will net you a higher salary
The state where you earn your college degree has a significant impact on your future earnings, but to get the higher salaries you also have to pay more in tuition and expenses, a new study from Teach Simple finds.
Massachusetts has the highest median earnings, with graduates from institutions in the state making an average of $65,319 annually. The average annual cost of attending a school in Massachusetts is $26,268, the second highest tab in the country, and students graduate at a rate of 67 percent. READ MORE
High salaries, poor performance: These were the most overpaid CEOs last year
When it comes to CEO salaries, no one topped Broadcom’s Hock Tan last year. A new study by the Wall Street Journal ranks Tan (and his $161.74 million pay package) as the highest among S&P 500 companies last year.
And while there are valid arguments to be made about excessive executive compensation and the growing pay gap between executives and their employees, it’s not hard to see why Tan was awarded that figure. In the past year, Broadcom shares have more than doubled. But what about those companies whose stock lost value last year? Are executives there still cleaning up, regardless? READ MORE
ISS recommends GM shareholders vote against proposed executive compensation
Proxy adviser ISS recommended that General Motors shareholders vote against the Detroit automaker's proposed compensation package for top executives at the June annual shareholder meeting.
The executives include GM's top boss Mary Barra, chief financial officer Paul Jacobson, president Mark Reuss and other key members. READ MORE
Banking Agencies Revive Incentive-Based Compensation Rules for Financial Institutions
The Federal Deposit Insurance Corporation (FDIC), the Office of the Comptroller of the Currency (OCC), the Federal Housing Finance Agency (FHFA) and the National Credit Union Administration (NCUA) recently re-proposed rules on incentive-based compensation arrangements at certain financial institutions with at least $1 billion in assets (Proposed Rule). Among other things, the Proposed Rule would subject certain compensation to recovery for at least seven years after vesting if a “senior executive officer” or “significant risk-taker” (based on their relative level of incentive compensation or ability to expose financial assets to risk) engaged in misconduct that resulted in significant financial or reputational harm to the institution or committed other specified bad acts. READ MORE
Group of Tesla shareholders ask investors to vote against Musk's compensation package
A group of Tesla shareholders is asking investors to vote against a compensation package worth more than $40 billion for CEO Elon Musk, saying that it's not in the electric vehicle maker's best interest.
Tesla is struggling with falling global sales, slowing electric vehicle demand, an aging model lineup and a stock price that has tumbled 30% this year. READ MORE
Women MBAs are asking for higher pay, but still earning less
The idea that women are less likely to ask for higher pay has long been one explanation for the gender pay gap — the difference in earnings between men and women — but new research finds women MBAs are now more likely to negotiate than their male counterparts. READ MORE
Tesla Hits the Road to Persuade Shareholders to Pay Elon Musk $46 Billion
Tesla shareholders have a decision to make in the next month about Elon Musk.
On June 13, they are set to vote on whether to reinstate stock options currently valued at $46 billion to Musk, the carmaker’s CEO and one of the world’s richest people, after a judge struck down the award in January. READ MORE
Executive Compensation and Employee Benefits Fallout After Sweeping FTC Ban on Noncompetes
The Final Rule is currently expected to be effective on September 4, 2024, unless earlier enjoined, delayed, or invalidated by a court or other government body. READ MORE
‘Reasonable compensation’ for Sub-S owners
You just gotta love the English language. We throw around a lot of words that can have different meanings. Take “reasonable” as an example. Webster’s dictionary says it means “much as is appropriate or fair; moderate; sensible.” The IRS says that means “what you would do to an unrelated third party.” (With regards to buying something, paying a fee for a service, etc.)
A little background on today’s topic. Owners of Sub-S corporations (which could be an LLC which has elected to be taxed as a Sub-S) are required by the IRS to pay themselves a “reasonable compensation.” Their reasoning is because Sub-S income is not subject to self-employment tax. READ MORE
You’re Fired: How to Pay Final Wages to Terminated Employees
Employers must have established payroll processes in place to ensure compliance with state laws regulating payment upon termination of employment, two industry experts said May 9.
Most states have laws requiring employers to pay employees within a certain time frame after their employment is terminated, said Kevin Valuet, Director of Payroll Training for PayrollOrg. However, most states make a distinction between voluntary and involuntary termination of employment, and different requirements apply for each. READ MORE
The Real Reason why Companies Offer Restricted Stock Units to Employees and how it Benefits Them
Job satisfaction and hefty compensation are considered the most basic factors that make an offer attractive for professionals. But instead of just paying higher salaries, companies have resorted to breaking the compensation into tax, variables, and stock components. One of the most popular instruments that most public companies in the United States offer their employees are “Restricted stock units (RSU)”. Back in 2000, only one-fifth of the public companies gave restricted stocks, but in 2023 the number has jumped significantly to 94%. Companies like Amazon, Apple, Uber, Verizon, Bank of America, Microsoft, and Starbucks are granting restricted stocks to their workforce. READ MORE
These Are the Top 15 Jobs With the Highest Entry-Level Pay
It's graduation season, and although hiring is cooling, it's still possible to find entry-level roles with six-figure median salaries for those right out of college or graduate school.
Fox Business looked at which jobs had the highest entry-level pay based on a Glassdoor analysis of salaries submitted between May 1, 2023, and April 30, 2024. Each job had at least 75 salaries provided by Glassdoor users. READ MORE
Overtime Rule: Raise Salaries or Reclassify Employees?
Employers with exempt employees making less than the new minimum salary requirements for exempt workers will need to decide whether to raise salaries or reclassify employees as nonexempt. HR should consider the economic and morale impacts of reclassification. READ MORE
More than a Third of S&P 500 Companies Now Have Compensation Tied to Climate Goals: S&P Global
More than a third of companies in the S&P 500 have monetary incentives in place linked to company emissions reduction, although a lower proportion have climate-related compensation incentives for senior executives, and even fewer at the top executive ranks, according to a new study released by S&P Global.
The study, which included data from the S&P Global Sustainable1 Net-Zero Commitments Tracker dataset, as well as the S&P Global Corporate Sustainability Assessment (CSA), also found that less than half of large listed companies in the U.S. have set net zero targets, and that the companies’ climate goals focus primarily on Scope 1 and 2 emissions, with much lower ambitions on Scope 3 value chain emissions, which represents the majority of most companies’ carbon footprints. READ MORE