Partner Kelly Malafis was recently quoted in an AP News article discussing pay packages for female CEOs in the last year. The article revealed that compensation increased for more than half of the female CEOs of S&P 500 companies, but the median pay package fell 6%. Malafis shares that executives could see steeper pay cuts in 2023 when boards consider the full effect of the stock market’s downturn.
Partner Kelly Malafis was recently quoted in an AP News article discussing the slowing growth of CEO pay. The article revealed that the typical compensation package for chief executives who run S&P 500 companies rose just 0.9% last year. Malafis provided insight on how the stock market’s downturn could affect pay in 2023 and how it could lead to more cuts.
Founding Partner Melissa Burek was quoted in the Associated Press’ recent article detailing the complexity behind the growing CEO pay packages. Burek explains how much progress has been made in the past decade in getting pay and performance decisions correct. She added that there is much more acute awareness regarding these issues in overall CEO pay decisions.
Founding Partners Dan Laddin and Kelly Malafis were quoted in the Associated Press’ recent article detailing how CEO pay packages are increasing as financials continue to soar. Laddin shares that throughout the year, CEOs have had to navigate snarled supply chains and shortage of chips that impacted businesses across industries. Malafis explained that all of this led to a desire to award executives because the financial performance was present and management teams were exceptional in navigating the situation while also delivering results.
Boards of directors had few precedents available to set pay packages as the global economy crashed due to the pandemic. Partner Melissa Burek addresses differences between the pandemic economy and the 2008 economic collapse. Additionally, Partner Kelly Malafis says that when deciding on the size of pay packages, boards of directors focus on performance.
Partners Kelly Malafis and Melissa Burek explain how market declines have negatively impacted CEO compensation, with many companies also cutting down employee headcount and benefits.
Partners Melissa Burek, Dan Laddin, and Kelly Malafis comment the lack of negative reaction around CEO pay ratio and how the flexibility around calculating the ratio might have helped reduce the number of outliers.
