r/technology • u/geoxol • Jan 13 '23 • Bravo! 1 Helpful (Pro) 1

Apple CEO Tim Cook to take more than 40% pay cut Business

https://apnews.com/article/technology-apple-inc-tim-cook-business-d056553b10120c4a968b562cb7ece5d2
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u/Clewin Jan 13 '23

Or 10:1 as per Japanese CEO to average worker or 11:1 for Germany. I don't know if that has changed much, but that's what I remember from 8-10 years ago when I worked for a German company with a highly paid CEO causing their average to be much higher than even 11:1 and being one imbalance factor (but still under compensated by US standards by about 1/3).

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u/Josvan135 Jan 13 '23

Serious question though, who would possibly take on the kind of unimaginable responsibility of running a company the size and complexity of Apple for $1 million or so?

Like an above commenter pointed out, any solidly successful wall street middle exec can make more than that.

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u/boforbojack Jan 13 '23

I mean I tend to hear, "Don't worry you're also getting paid in experience and exposure".

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u/Josvan135 Jan 13 '23

Which is bullshit, as you well know.

You take on an internship to make connections, learn valuable skills, and set yourself up for later opportunities.

The CEO of the largest and most profitable company in the world has all the experience and exposure they could possibly need.

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u/sobanz Jan 13 '23

people who are unqualified

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u/wycliffslim Jan 14 '23

I'd run Apple for a million dollars a year. Sign me up.

They could also just have the average salary be higher, and then if you want to give your CEO a huge bonus, you equitably reward the rest of the employees who helped. Sure, you could be a wallstreet exec and get millions, but they also make too much money.

Do you have any idea how much money even a million dollars a year is? Your average American could work for 3 or 4 years, invest their money, retire, and live a comfortable middle class life for the entire rest of their lives. You could work 4 years and then live the rest of your life in relative comfort without ever working again.

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u/Josvan135 Jan 14 '23

I'd run Apple for a million dollars a year. Sign me up.

What are you qualifications?

How large was the P/L of your last role?

What was the scope of your previous employment?

How many divisions were in your direct reports, and how many tens of thousands of people did you manage?

Do you have any idea how much money even a million dollars a year is?

Yeah, it's about as much as a mid-level law partner, senior manager at a FAANG, or vice president at a medium-sized hedge fund makes.

In the spectrum of leadership roles in a business setting you're talking someone who runs teams of 20-30 high-level performers.

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u/wycliffslim Jan 14 '23

So if companies are that profitable maybe everyone should be making more money.

Quite frankly, I don't give a shit how much the CEO or anyone makes. But the fact that executives and high-level employees will get bonuses of millions of dollars worth of stock while your average worker gets a pizza party and an atta-boy is indefensible.

If your publicly traded company is doing so well, and generating so much profit for shareholders that you can justify tens of millions of dollars for a few employees they are also profitable enough to pass on that abundance to ALL of their employees.

C-level salaries in the US have skyrocketed in the last decades while worker wages have stagnated. That's just objective fact. In 1961 the realized CEO pay to employee was 21-1 in 1960's, 61-1 in the 80's and was 293-1 in 2018 and the discrepancy continues to surge ahead.

https://www.epi.org/publication/ceo-compensation-surged-14-in-2019-to-21-3-million-ceos-now-earn-320-times-as-much-as-a-typical-worker/

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u/sobanz Jan 14 '23 edited Jan 14 '23

you would run apple or you would try to run apple?

people with the skillset to run a multibillion(or trillion) dollar company are paid this much because it is a difficult job. cap ceo salary at 1m and the big talent will just make startups for many times that amount. it's simple risk vs reward.

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u/DoctorWorm_ Jan 14 '23

Fucking bullshit, most C-suite folks are overemployed idiots with rich friends who can't keep viruses off their company laptop

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u/grimoireviper Jan 14 '23

So you're saying there'd be more companies led by competent people that would raise competition? Sounds like a win to me.

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u/sobanz Jan 14 '23

no I'm saying there would likely be a shortage in competent leadership since they would find other ways to make more money.

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u/erosram Jan 14 '23

This actually makes me think we should spend more on time cook

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u/[deleted] Jan 13 '23

[deleted]

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u/Josvan135 Jan 14 '23

How is that relevant to my point?

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u/Clewin Jan 13 '23

Steve Jobs took a $1 salary. He got 30+ million in options based on performance and they vested. We're talking base salary, not perks.

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u/Josvan135 Jan 14 '23

I'm referring directly to the above commenters 10:1/20:1 comparison.

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u/astrange Jan 13 '23

Those Japanese CEOs may get paid 10x average worker, but they also get a house, car, helicopter, country club membership etc for their exclusive use that happens to be owned by the company.

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u/chostax- Jan 13 '23

At least the money goes back into the economy? Idk lol it’s definitely the better scenario though.

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u/nutyo Jan 13 '23

All working class money goes back into the economy. Only people who have not only more than they need, but more than want, don't put all their money back into the economy.