For years, CEO pay has caused a battle at many companies between board members and shareholders. Board members say chief executive officers are rate commodities, trained for years to run some of America’s largest public companies. Many shareholders and public activists do not see why CEOs should make hundreds of times more than schoolteachers and firefighters. One public company CEO made $211,131,206 last year, the highest among all CEOs of S&P 500 corporations.
Not every CEO has a huge pay package. Some work for hundreds of thousands of dollars. Most of these are large shareholders in their own companies. Warren Buffett, of Berkshire Hathaway, is an example. However, he is one of the richest men in the world. For part of his tenure as chief executive of Apple, Steve Jobs was paid a base of only $1. However, he was worth hundreds of millions of dollars, at least. His successor, on the other hand, Tim Cook, has had huge pay packages.
Two CEOs took only a $1 in total composition last year, according to company proxies. These proxies were examined for 24/7 Wall St. by MyLogIQ, which uses artificial intelligence and machine learning to screen public company documents.
The first of the two is Jack Dorsey, head of Twitter. He is the rare CEO of two public companies. The other is Square, the payment system company. Dorsey took a $1 salary at Twitter in 2020 and took no other compensation in stock, stock options or bonus. The figure was actually $1.40, the same as in 2019 and 2018. Dorsey owns slightly less than 3% of Twitter’s stock.
The other public company CEO to take only $1 is Steven Kean of Kinder Morgan. He also took this as a salary and got no additional compensation. Kean took only $7,270 in total compensation in 2019. Kean owns less than 1% of Kinder shares, or 7,210,598.
Both CEOs could make the case that they should have been paid more. It is unlikely either lobbied his board. In both cases, investors got a break.
Special thanks to MyLogIQ.