Categories: 24/7 Wall Street

This CEO Made 300 Times More Than His Workers

The U.S. Securities and Exchange Commission has long required that public companies post the annual compensation of their top executives in their proxies. In 2015, the SEC ruled that public corporations had to show how much their CEOs made in relationship with the median salary of their firm’s workers. The rule went into effect in 2017. The decision was part of the larger Dodd-Frank Act, which Congress passed as a sweeping reform of the federal’s governments financial regulations.

Using artificial intelligence and machine learning, MyLogIQ provides information about public companies. The firm has provided data exclusively to 24/7 Wall St. that covers CEO pay ratios from 294 public companies that have released their 2020 proxies. CEO compensation included salary, bonuses, stock awards, stock options, long-term incentives, short-term incentives and changes in pension values, all of which are required to be broken out by SEC rules.

The person who had the highest ratio of pay to the median compensation of his company’s employees was Michael F. Roman, the board chair and chief executive officer of 3M. His ratio was an extraordinary 308 to 1. In the 3M proxy, the company reported, “[W]e selected the median employee from among 96,902 full-time, part-time, temporary and seasonal workers who were employed as of December 31, 2020.”

MYL Admin

Recent Posts

How ESG Metrics Are Taking Over Annual Incentive Plans

Compensation committees at S&P 500 companies are increasingly tying annual bonuses to measures beyond financial…

2 weeks ago

Visual Investigation: Pay Gaps Widen as Workforce Scrutiny Grows

The pay gap between CEOs and their employees has widened over the past half decade,…

1 month ago

In a Bumper Year for CEO Pay, One Chief’s $161 Million Award Swells to $1.3 Billion

Chip maker Broadcom gave Hock Tan, its chief executive, a $161 million stock award, instantly…

2 months ago

Are Companies Really Reincorporating in Nevada?

Elon's Musk's $56 billion pay package's upheaval, a hedge fund sanctioned for failing to preserve…

2 months ago

Are Check Marks ‘Cheap Talk’ in Board Skills Matrices?

Disclosures about directors' skills and expertise are increasingly coming under the microscope as investors ramp…

3 months ago

Boards Looking for ‘Soft Skills’ in New Crop of CEOs

On Jan. 1, several of the nation's biggest companies — including Morgan Stanley, Kraft Heinz,…

4 months ago