Off course.. he is worth every penny.. He is managing world's most wanted and desirable and darling company.. why not.. he should be rewarded.. he has worked his butt off and ought to be rewarded. Also, most of the vesting is over a period of ten years.. which is fairly long term.. so he needs to keep company keep running really well in long term.. not just short term. I think each every share holder of Apple will be more than happy to pay him even double than what he has got if he can even maintain Apple stock to this level. Which I can guarantee, it won't be.. it will be back to some normal level by the end of ten years. Nature will take care of it.. nothing can keep on going for such a long time.. Apple will become some kind of normal company and some other company has to come up and take its place..
Bottom line, it is reward for performance and it ought to be good so that everyone really works hard to attain it. As long as company and shareholders are fine with the compensation (I mean they can afford it)..
All that charity and hourly rate and all of it is purely non-sense.. Biggest charity any CEO can do is to create jobs which will eventually create hundred or thousand times more value than just donating to feed or provide cloths..
In this case, as long as Tim or any other CEO keeps on creating jobs, he is already doing greatest charity to humanity already. We have seen effect of Charitable philosophies (namely communism) already.. we don't want to go back to it. Though, NO System is Perfect.. Performance and Reward for performance is best system we got and we need to preserve it..
Is Apple’s CEO really worth that much?
Staggering pay package is symbol of income inequality in country
The drinks are on Tim Cook.
$377,996,538. That’s how much the new Apple CEO made last year. That’s not how much he’s made in his lifetime. It’s not how much money his company made, though that would be a fine profit for a company. That’s how much he made in 2011, according to this newspaper’s annual What the Boss Makes survey. More than a million dollars a day. Roughly, $43,151 an hour. About $57,534 for every hour he was awake (figuring he gets six hours a night). If he took his pay in $1 bills, it would weigh 417 tons. He could buy 757,515 iPads (not counting the employee discount). He’d have to spend it at a rate of $719 a minute to burn through his pay in a year.
To put Cook’s pay package, the highest in the valley, in perspective: It’s really, really a lot.
A caveat: All but about a couple million of Cook’s 2011 pay was in Apple stock that vests over 10 years. So, if he leaves the company, depending on when he leaves the company, he might not see it all. But don’t feel too bad.
If he stays and the stock keeps rising (it’s already within striking distance of doubling since it was granted) he’ll make even more than $378 million for the year.
The putting in perspective seems to get harder each year. Cook is by no means the first valley CEO to need a supertanker to get his paycheck home. Nine-figure pay packages are common enough that they barely make a splash in Silicon Valley. After all, this place is all about money. It’s how we keep score. And for those keeping score at home, last year’s No.1, Oracle’s Larry Ellison, is now No.2. He’s stuck in the $70 million-plus range, similar to last year.
Maybe we should make Ellison an honorary member of the 99 percent, given that his wages have stagnated.
OK, I admit it. I enjoy having a little fun at the expense of the rich. They can afford it after all. But there is a serious side to all of this. In some ways the valley’s gargantuan pay packages are a symbol of the growing divide between the rich and the rest who live in this country.
I’ve written about this issue before and when I have, my email has included notes that say I must hate the rich. (I don’t.) Or that I must believe that when it comes to pay, there is a point where enough is enough. (I might.) But the real reason I think this is worth talking about is that the growing disparity between the rich and those who are middle class or poor is a cause for concern.
Consider that between 1988 and 2008, according to the Internal Revenue Service, the inflation-adjusted income of an average taxpayer dropped by $400, to $33,000. During the same time, the richest 1 percent, those who make $380,000 or more, saw their incomes increase by 33 percent.
Then consider that when the majority sees or senses that the game is rigged against them — that opportunity is much more available to a few, compared to the rest — it erodes trust. People no longer feel vested in our democracy and our common interests. Those who have worked hard, only to fall behind, become restless.
“If you’re a CEO of one of the big 500 companies, you’re probably making as much in two or three hours as a normal wage worker is making in some cases in two or three years,” says Sister Nora Nash, a Philadelphia-area Catholic nun, who works with the Interfaith Center on Corporate Responsibility. “How can you morally look at your life and see how that is just?”
I called Sister Nash, who’s taken on Goldman Sachs CEO Lloyd Blankfein among others, because frankly I was struggling.
Something seemed inherently wrong with the notion that one person, whose company’s success relies on the work of hundreds of thousands of others around the world, should be paid nearly $400 million in a year. And, of course, the question goes well beyond Tim Cook. The What the Boss Makes survey is filled with executives who were paid far more than mere mortals would know what to do with.
But what? What exactly is wrong with paying an executive more than the GDP of a small country?
Sister Nash explained that the way she sees it, it’s all about keeping our communities from coming apart at the seams.
“We look at the problem of the growing inequity here in this country and throughout the world,” she says. “And we say we really need to be working for the common good; and the common good of the human community is to bring about some sort of sustainability.”
Instead, she says, more and more of the country is slipping into poverty. It’s a bleak picture, but Sister Nash is keeping the faith (occupational hazard).
Highly paid CEOs have tremendous power and tremendous means to do good. She points to the philanthropy of Bill Gates, who was for years vilified as a stingy billionaire, and his wife, Melinda.
“They’ve really taken the time to see what they can do to change the lives of people,” she says.
And so, we can all hope that in time, Tim Cook and his fellow valley moguls will be popping for far more than a celebratory round of drinks.
Contact Mike Cassidy at mcassidy@mercurynews.
com or 408-920-5536.
Follow him at Twitter.
com/mikecassidy.
Bottom line, it is reward for performance and it ought to be good so that everyone really works hard to attain it. As long as company and shareholders are fine with the compensation (I mean they can afford it)..
All that charity and hourly rate and all of it is purely non-sense.. Biggest charity any CEO can do is to create jobs which will eventually create hundred or thousand times more value than just donating to feed or provide cloths..
In this case, as long as Tim or any other CEO keeps on creating jobs, he is already doing greatest charity to humanity already. We have seen effect of Charitable philosophies (namely communism) already.. we don't want to go back to it. Though, NO System is Perfect.. Performance and Reward for performance is best system we got and we need to preserve it..
Is Apple’s CEO really worth that much?
Staggering pay package is symbol of income inequality in country
The drinks are on Tim Cook.
$377,996,538. That’s how much the new Apple CEO made last year. That’s not how much he’s made in his lifetime. It’s not how much money his company made, though that would be a fine profit for a company. That’s how much he made in 2011, according to this newspaper’s annual What the Boss Makes survey. More than a million dollars a day. Roughly, $43,151 an hour. About $57,534 for every hour he was awake (figuring he gets six hours a night). If he took his pay in $1 bills, it would weigh 417 tons. He could buy 757,515 iPads (not counting the employee discount). He’d have to spend it at a rate of $719 a minute to burn through his pay in a year.
To put Cook’s pay package, the highest in the valley, in perspective: It’s really, really a lot.
A caveat: All but about a couple million of Cook’s 2011 pay was in Apple stock that vests over 10 years. So, if he leaves the company, depending on when he leaves the company, he might not see it all. But don’t feel too bad.
If he stays and the stock keeps rising (it’s already within striking distance of doubling since it was granted) he’ll make even more than $378 million for the year.
The putting in perspective seems to get harder each year. Cook is by no means the first valley CEO to need a supertanker to get his paycheck home. Nine-figure pay packages are common enough that they barely make a splash in Silicon Valley. After all, this place is all about money. It’s how we keep score. And for those keeping score at home, last year’s No.1, Oracle’s Larry Ellison, is now No.2. He’s stuck in the $70 million-plus range, similar to last year.
Maybe we should make Ellison an honorary member of the 99 percent, given that his wages have stagnated.
OK, I admit it. I enjoy having a little fun at the expense of the rich. They can afford it after all. But there is a serious side to all of this. In some ways the valley’s gargantuan pay packages are a symbol of the growing divide between the rich and the rest who live in this country.
I’ve written about this issue before and when I have, my email has included notes that say I must hate the rich. (I don’t.) Or that I must believe that when it comes to pay, there is a point where enough is enough. (I might.) But the real reason I think this is worth talking about is that the growing disparity between the rich and those who are middle class or poor is a cause for concern.
Consider that between 1988 and 2008, according to the Internal Revenue Service, the inflation-adjusted income of an average taxpayer dropped by $400, to $33,000. During the same time, the richest 1 percent, those who make $380,000 or more, saw their incomes increase by 33 percent.
Then consider that when the majority sees or senses that the game is rigged against them — that opportunity is much more available to a few, compared to the rest — it erodes trust. People no longer feel vested in our democracy and our common interests. Those who have worked hard, only to fall behind, become restless.
“If you’re a CEO of one of the big 500 companies, you’re probably making as much in two or three hours as a normal wage worker is making in some cases in two or three years,” says Sister Nora Nash, a Philadelphia-area Catholic nun, who works with the Interfaith Center on Corporate Responsibility. “How can you morally look at your life and see how that is just?”
I called Sister Nash, who’s taken on Goldman Sachs CEO Lloyd Blankfein among others, because frankly I was struggling.
Something seemed inherently wrong with the notion that one person, whose company’s success relies on the work of hundreds of thousands of others around the world, should be paid nearly $400 million in a year. And, of course, the question goes well beyond Tim Cook. The What the Boss Makes survey is filled with executives who were paid far more than mere mortals would know what to do with.
But what? What exactly is wrong with paying an executive more than the GDP of a small country?
Sister Nash explained that the way she sees it, it’s all about keeping our communities from coming apart at the seams.
“We look at the problem of the growing inequity here in this country and throughout the world,” she says. “And we say we really need to be working for the common good; and the common good of the human community is to bring about some sort of sustainability.”
Instead, she says, more and more of the country is slipping into poverty. It’s a bleak picture, but Sister Nash is keeping the faith (occupational hazard).
Highly paid CEOs have tremendous power and tremendous means to do good. She points to the philanthropy of Bill Gates, who was for years vilified as a stingy billionaire, and his wife, Melinda.
“They’ve really taken the time to see what they can do to change the lives of people,” she says.
And so, we can all hope that in time, Tim Cook and his fellow valley moguls will be popping for far more than a celebratory round of drinks.
Contact Mike Cassidy at mcassidy@mercurynews.
com or 408-920-5536.
Follow him at Twitter.
com/mikecassidy.
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