CEO Salaries: Should They Be Brought in Line with Employee Salaries - Essay Example

Should the trend in CEO salaries continue or not? My personal opinion is that CEOs, to a certain degree, should be given compensation packages that are commensurate to the burden of responsibilities and accountabilities that rest on their shoulders as the top decision-makers of companies. To a certain degree simply means that the CEOs’ compensation should be much higher, say at least 150 times that of average workers, but not as excessively high as 364 times, as is the reported trend now.

The CEOs, who studied and worked hard to earn the position, deserve to be paid for their competence, which lends integrity and credibility to the companies they lead. Besides, they spend almost every waking hour working for and on behalf of the companies they head, sacrificing personal time for pleasure, for families and loved ones. They make decisions, the riskiest ones, of which they take full responsibility for the consequences. Although they receive accolades for every success, they also take all the blames and the ire of stakeholders for every failure. It is their heads that roll first on the ground, which, once they lose, are almost impossible to recover and start anew. Read More