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Are CEOS Paid Too Much

Outline……………………………………………………………………………………………………..3 Top Executives Deserve the Money they Make…………………………………………………………4 Introduction……………………………………………………………………………………………….4 High Pay Seems Small When Compared To Company Profits………………………………………..4 Top Executives Are Under a Lot of Pressure……………………………………………………………5 Pay Should Reflect Performance………………………………………………………………………...6 Conclusions and Recommendations……………………………………………………………………..7 Bibliography………………………………………………………………………………………………8 This report explores the issue of the pay that top executives make, and the reasons why they do. It also suggests improvements that can be made to make the system better. High Pay Seems Small When Compared To Company Profits Many companies pull in profits that are extremely high. When an employee of such a companies salary is compared to the amount of profit that the company earns, it starts to seem reasonable. It only makes sense that if the employee is directly responsible for the success of their company, then they deserve to get their payback. It seems ironic, but many salaries even look small once compared with a companies profits. Top Executives Are Under A Lot Of Pressure Being the CEO of a company is not an easy job. There is all kinds of pressure for a person in such a position to succeed. If they do not, then it is their job on the line. Therefore, they deserve to receive a large sum of money for the work that they do. It is the only way to compensate these employees for the tremendous strain that their job puts on them. It is essential that the employees get paid the amount of money that they deserve. Pay Should Reflect Performance When CEOs are being given big paychecks, they are expected to perform at a high level. There success is impeccable. However, this does not always happen. There should be some way of connecting pay to job performance. The best way of doing this would be to award bonuses to those workers who are at the top of their class. This wo...

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Bibliography:
BIBLIOGRAPHY 1. "Rich-Baiting Time," National Review, 62 May 5, 1996 2. "Random Numbers," MacLean’s, 42 May 9, 1994 3. "Giving Capitalism An Obscene Reputation," National Review, 35 May 9, 1994 4. "On The Right," Economist, 62 June 3,1995


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