Apple Exec bonuses
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- numbers0
The timing seems strange...right after Jobs' death
Makes it seem like they are calling it a day
- OSFA0
At least is not Government money...
- obsolete0
@animatedgif
would you work there?
- eieio0
nobody 'deserves' these sorts of bonuses, they are exceedingly fortunate to get this sort of money for being a pampered exec... it is humanly impossible to actually EARN this amount of money.
- The fact they are receiving these bonuses because somebody believes they have earned them kinda blows your comment. Just sayin'.goldieboy
- Comment. Just saying'.goldieboy
- they don't actually think they earned it they just get to get the money and pat each other on the back sayin "well done"eieio
- They don't deserve it? They earned the company 43 billion this year, they're only getting scraps.raf
- no they just made the money they didn't EARN iteieio
- You get paid right? You don't deserve it because you didn't EARN it! This is how stupid your statement soundsgoldieboy
- Nobody could EARN 60 million, they just MAKE that much.eieio
- Stating they deserve a 60 million bonus is like saying the King of Saudi Arabia deserves to be King because he is the best.eieio
- ...best man for the job.eieio
- Their experience or education or job duties would never actually equal what they make. Not possible.eieio
- Guess what? It's possible because it's happening... And we're discussing it!goldieboy
- Actually it didn't happen, they didn't earn shit... it was a gift, they were paid off .eieio
- A bonus based on their and the companies performance... that's how it works. You can spout how it's 'humanly impossible' until you're blue in the face... it ain't going to make any difference to them or megoldieboy
- until you're blue in the face... it ain't going to make any difference to them or megoldieboy
- ok stop posting in my notes theneieio
- your posts? hahaha ok!goldieboy
- This one's really going to piss you off... F1 drivers get paid approx £15+ million a year to drive fast cars and look good in ads! Crazy eh!goldieboy
- ads...goldieboy
- aanderton0
Possible that Jobs decided to give a proportion of his shares away to staff as a bonus after his death.
- drgs0
I don't understand the effect of the incentive. In almost any outcome, if the stock value is halved for whatever reason, and you end up with 30 mill, 15 mill -- when you have this kind of money, what is the purpose of even having a job, not to mention doing it well?
- UKV0
This is about retention as much as it is reward. An executive at this level is a rare cat. Execs operating at this level bore quickly, and are track focused. Thus, they get some very enticing offers every day, many of them to go captain other leading brand with incredible incentives. I suspect I would do the same thing, albiet on a much less grand scale.
- "Free fries at company lunch! Yay! How could I ever leave?!?"
UKV
- "Free fries at company lunch! Yay! How could I ever leave?!?"
- BusterBoy0
It's ridiculous. $60m each? That IS obscene. It breeds a culture of entitlement right across the corporate landscape which ultimately trickles down to poor old Joe Citizen.
In Apple's case, they can afford it - good luck to them. Problem is, this culture breeds executives who demand these ridiculous bonuses where the performance criteria are so heavily weighted in their favour it is just out of whack.
- no, it's stock right now that's worth that much, but they don't get the full value until 2016monospaced
- if it goes down, then it's a bonus worth only a percentage of that, you see? And it's not right now anyway dudemonospaced
- eieio0
Its time the corporate world acknowledge the cost and consequences of their wealth.
- BusterBoy0
I normally don't have a problem with paying executives well...but this is really excessive IMO.
- Melanie0
Steve handpicked all the key players in Apple before he died, so maybe this is an incentive for them to stick around in case things get a little turbulent over the next few years.
- raf0
Imagine the cost of either of them being bought by Asus, Sony, Dell, HP—their deep knowledge of not only the technology and strategy but also of how the best performing tech company in the world is organised from within is worth even more than that.
Also, what's with this counting other people's money? What's it to you? Why don't you tell us what you earned last year, we'll tell you if you deserved it or not.
- pr20
Raf, don't be naive. Apple made that money because of the execs but they were just a small part of the army of people who helped make all that profit, the janitors, the designers, the accountants, yes the slaves in Chinese factories too. And yet when it comes to diving up the spoils it goes only to those few on the top... And on top of that people like you naively assume that "they deserved it."
- < thiscannonball1978
- 1%omg
- by your logic: whatever you're charging for your film work a guy from 7/11 could do for minimum wageraf
- MrT0
So a bunch of execs stand to get a fat payout. Despite the amount being subject to how well the company is doing, it will probably still seem obscene to the average person.
It's no more interesting, acceptable or justifiable simply because it's Apple.
- numbers0
I tend to agree with pr2's comment even though they may be interpreted as socialist(?). Top execs should earn more, but why 6,000 times more? Do they really earn it? Or is being in that job just the same as any other, a lot of hard work, a lot of luck, and some bullshitting?
- BusterBoy0
mono...you're a dill. I completely understand they are being paid in shares, with half vested until 2013 and the balance in 2016. I also understand this may be a tactic to keep these execs on board. BUT as has been proved with Steve Jobs, nobody is indispensible so I just don't reckon anyone is worth that much. $60M? Seriously...
What do you reckon Apple's share price will be come 2016? I'd bet London to a brick they won't be less valuable then.
- I don't think they'll change much at all by 2013, but by 2016 they could be anywhere.Amicus
- Amicus0
I guess it's risk vs reward.
The higher up the tree you are the more important and riskier the decisions you have to make. Consistently make good decisions and everyone has a job. Make one or two bad decisions and you can sink the whole company. Good executives are paid well because they very rarely make bad decisions.
I think the lowest paid workers should all get a bigger bite of the cherry, but you can train virtually anyone to assembly a product. However, it is the rare few who can think far enough ahead at a deep strategic level and turn that into great products that translate into profits.
Personally if I were the CEO I'd happily have a slightly lower profit margin to pay my workers better. 10% pay rises for factory workers would probably lower the profit margins by about 2%, right?
- boobs0
In a publicly traded company, how are you going to stop these guys from raiding the till, providing it's all legal? This is something the executive class learned years ago.
In the 1970s, the very top CEOs, of Ford and GM, earned just under a million per year. They were the highest paid executives in the world at that time.
Somewhere along the way, these guys learned they could pay themselves a fuck of a lot more, and get away with it. And now they do.
There's really only one way to stop them, and that's to tax the living shit out of incomes/capital gains/compensation, etc., above a certain level.
That was actually the strategy of the very high tax rates of the 1940s, 1950s, and 1960s: that gives an incentive to re-invest in the company, instead of taking more and more compensation. CEOs lived in big houses and had nice cars. But they didn't live in Versailles.
The chart up there that shows the average salary being nearly level for the last 40 years ought to tell you who's winning the class warfare. Average guy is getting buried!
Just think how much lower your health insurance premiums and co-pays would be if the people at the top weren't raking off so much for themselves.