Most responses are trying to tell you why they ‘deserve’ their pay. True or not, this is irrelevant. CEO pay is set by the board in the same vote that sets their own compensation. ‘The company’ is not a sentient being. Nobody is looking out for its best interests.
5-year-olds from most cultures would have a hard time understanding this because it breaks their understanding from adult-child stewardship.
We shouldn’t moralize this. The point is that CEOs and board members are going to act exactly like anybody else in their position. Find a different structure if you want a different behavior.
5-year-olds from most cultures would have a hard time understanding this because it breaks their understanding from adult-child stewardship.