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October 16, 2007
Study: Executives Admit They Are Overpaid
If you think that chief executives and company presidents are paid too much, you're not alone. In fact, most executives themselves would agree with you, according to a new study by the National Association of Corporate Directors (NACD).

Of the nearly 70 top executives surveyed, most indicated that they believed their peers are overpaid and do not provide value for money for their companies. According to the study, two out of three executives reported that the compensation of top executives was high relative to their performance. Just 2.2. percent thought pay for executives was too low, and about a third believed such pay was at the appropriate level.

According to the Financial Times, the study could embolden critics of excessive compensation for executives, President George W. Bush among them, to call for restraint on executive pay. The article noted that the share of national income claimed by the wealthiest top 1 percent of Americans has reached a post-war record 21.2 percent, due in part to huge company profits.


  • Financial Times

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