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Are CEOs Really Worth Millions?

Updated on May 16, 2013

I have a hard time, as many people do, believing that any one person is actually worth what many CEOs are earning. The argument can also be said of sport figures and movie stars, for that matter.

Last year, 127 out of 130 CEOs of companies took home an average of $10 million bucks. Are the shareholders of these companies comfortable with this? Probably not, which is why more and more the shareholders demand compensation is ties to performance of the stock and earning. However, many other CEOs earn way more like Oracle's Larry Ellison who makes the $94 million, no wonder he bought the island of Lanai in Hawaii. What does a person do with so much, much money? I mean, it must even be a problem dealing with this sum and knowing what to do with it.

The CEO of CBS earns $58 million, Disney's CEO earns $36 million, Nike's CEO pockets $33 million as does Viacom's. Starbuck's CEO gulps down $26 million. Facebook's Zuckerberg has been reported to have received $2 billion.

I mean, he must lay in bed at times wondering WTF is he going to do with sooo much money. Buy a bank? How about a country? It certainly a FAR cry when he was a poor student 10 years ago. What does a person do with so much? Is he or any of them REALLY worth that money, when thousands of employees under them work for maybe $60-85,000 a year, actually doing work.

Now, sport figures and movie stars actually do work hard at their craft. Ask any movie star that while on the set shooting, they are there usually from 5 or 6 am to maybe 8 pm, depending on how the shooting is going, Granted, they are NOT working every moment and there a lot of down time, but they have to be on the set. The same applies to everyone on the set. This can go on for months. Sport figures also work in the off season to stay fit and the top of the game.

CEOs are like the guiding light of the company and while they may have talent in business, much of their status was luck. They were lucky to think of it in the start, or started early, but they have to make the company as a whole be a success for the shareholders. Yet, even when they are fired, they take home outrageous sums of perks and money from the stock shares they have. When you have millions of shares given to you as a perk on top of the salary of $25 million, it just seems unjust for one person.

Is anyone really worth that kind of money? I don't think so, but obviously, I am in the minority!


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