Monday, December 23, 2019

Analysis Of The Payment Practices Between Companies,...

While there is heterogeneity in the payment practices between companies, executive compensation plans must include four basic components: base salary, annual bonus tied to accounting performance or another agreed indicator between the parties, stock options and incentive plans long term (including restricted stock plans and performance plans based on accounting more exercise). Under the crossfire of public opinion, the bonus word became almost word, synonymous with unbridled greed, something to be fought. But despite all the weeping and gnashing of teeth the last two years, the variable compensation was off the list of fatal victims of the crisis. Capitalism still could not invent better way than the bonuses to reward those who deliver the†¦show more content†¦There is the difficulty of justifying wages like these when companies have laid off many employees. The expectation is that these excessive salaries are reduced this year, thanks to new rules imposed last month by the Securities and Exchange Commission. Besides super salaries and bonuses, companies offer a benefits package, which are very negotiable an executive to another, but it usually involves a high standard car, high level of health insurance for the family, specialized courses for professional education for the children, wife expenses and, the company sometimes also offers sophisticated houses. Multinationals also have policies to encourage the training and professional development of employees, with courses and trips. Professionals also have advantages to work in environments that emphasize the quality of life, health, and ergonomics. Over the past 15 years, the compensation of the executives rose to astronomical figures compared to the reality of other countries. With inflated salaries and high bonuses, directors and vice presidents had in their favor the market, so they could choose the employer who paid more. The party is now over. The unfavorable economic scenario that these same professionals who have been targets of true corporate auctions are now in the court of sight. In the dance of the restructuring, the most affected were and still are the top of the pyramid executives. Because of the shrinking of the

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