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VOL. 3, ISSUE 1 (2021)
Different components of CEOs’ remuneration packages: The U.S. evidence
Authors
Ashkan Mirzay Fashami
Abstract
This paper analyzes different components of the Chief Executive Officer (CEO)s’ remuneration packages among U.S. firms. The sample consists of 20 companies among Standard and Poor’s (S&P) 500 firms. The firms are chosen from four different sectors (utilities, financials, healthcare, and information technology). They have different market capitalization and are selected from different tiers of the S&P 500 index (1-100, 101-200, 201-300, 301-400, and 401-500). Results show that base salaries cover the lowest amount among CEOs’ remuneration packages because CEOs’ salaries are not aligned with shareholders’ interests. Stock gains cover 30.67% of CEOs’ remunerations, being the second-largest component of their remuneration packages. Other remunerations (perks, long-term and non-equity payout, life insurance, security services, retirement payment, and flights with corporate aircraft) are the largest component of CEOs’ remuneration packages. This study provides some suggestions regarding CEOs’ remuneration packages.
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Pages:01-06
How to cite this article:
Ashkan Mirzay Fashami "Different components of CEOs’ remuneration packages: The U.S. evidence". International Journal of Management and Commerce, Vol 3, Issue 1, 2021, Pages 01-06
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