Higher Pay for CEOs = Smaller Dividends for Stockholders

Maybe this report will get a rise out of people who think Income Inequality is just a liberal buzzword.  When millions of stockholders find out that they themselves are being shortchanged by the inverse relationship between CEO pay and company performance, maybe something will get done.  (Forgive me for dreaming.)

Here's another link.

The companies with the highest CEO pay are suffering an average shareholder loss of $1.4 billion a year.  This information comes from a study conducted at the University of Utah’s David Eccles School of Business.  The economists reached this conclusion after studying executive compensation and corporate performance data over a seventeen-year period.

Over the past twenty years, roughly one third of the highest-paid CEOs have been bailed out by taxpayers and/or fired by their boards of directors and/or arrested for fraud.

On top of that, executive compensation is tax deductible.  YOU are contributing your tax dollars to these CEOs' 7-figure salaries and bonuses.  About $5 billion a year are being contributed by taxpayers to help finance these executives' compensation packages.

Let's hope this information will make its way to the millions of stockholders and investors who need to know this.