Salary like a top manager: who deserves more?

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The subject of salary is one of the biggest taboo subjects in Germany - and yet hardly as exciting as the question is: what do top managers deserve? Here are the answers. Salary like a top manager: who deserves more? manager-content-compared-money

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Simone Janson Simone JansonSimone Janson is publisher, German Top20 blogger and Consultant for HR communication.


Why are there differences in salaries?

There are several reasons why there are so many salary differences in Germany and around the world: the chosen occupation, the training path, further qualifications, whether one has to take care of children and therefore work part-time. But also the origin and the appearance play a crucial role in Germany. And sometimes you just have the luck to be in the right place at the right time and set the course for your career on green.

Even women often earn less than men: The average gross monthly earnings of women in Germany in the years 2010 to 2014 19 percent nideriger than that of the men - that was the result of the evaluation of 72.000 questionnaires on, a page of the economic and social science Institute (WSI) in the Hans Böckler Foundation.

Simply negotiate better?

But just because the issue of salary is also such a taboo subject, many are too modest, prepare themselves awkwardly or do it hard with the right assessment of their abilities. Not a few want to remain polite, do not fool around, annoy anyone, do not seem greedy or are afraid of a termination - because you better wait until the boss offers the salary increase by itself - something that usually never happens. They find Best of HR –® aber auch Tips for Successful Negotiation.

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But even if everyone earns the same, are not all satisfied. A credit card company from Seattle dared the experiment to pay all employees 70.000 Euro salary - and lost first time its top executives. Suspected reason: That everyone else earns exactly as much, seems to first demotivieren.

A high on the small and big difference?

So high on the big and small salary difference? At least that's what the Glassdoor job and recruiting community must have thought as it looked at how much more top managers earn in the US compared to the average salary of their employees.

A little was compared with apples with pears, because the overview, for example, does not take into account that the company's owners also benefit from the shares.

However, Glassdoor only has Company which are listed in the stock index Standard and Poor's 500 (SundP 500). All disclosures on CEO compensation have been taken from the reports of the United States Securities and Exchange Commission (SEC) (form DEF 14A), Booth 14. August 2015. The CEOs listed in this research are the individuals listed there for the year 2014 or 2013. 2014 is the latest year for which these SEC filings are available. In cases where two or more CEOs were expelled within one year, this investigation selected the one who held the position of general manager after the largest period of the year, following Glassdoor's research. For 6's 500 companies, the related SEC data was not available: Mylan NV, Kraft Heinz Co., Columbia Pipeline Group Inc., Baxalta, PayPal, and Westrock Co.

How come the numbers

Average employee compensation data is based on the USN employee salary data published on the Glassdoor between the 1. January 2009 and the 17. August 2015. The data was adjusted for inflation and shows the median value per company. The total compensation includes basic salary, commissions, gratuities, bonuses and all other forms of referenced benefits. Both full-time and part-time staff were considered to be consistent with SEC standards. To ensure statistical validity, only companies that received at least 30 salary data from employees within the above period were considered. This applied to 441 of the companies listed in the SundP 500.

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As a caveat, this study examined only the compensation of CEOs of large capital market-oriented companies listed in the SundP 500 stock index. These examples are not representative of the salaries of CEOs and directors of the entire US labor market. Small and medium-sized business managers receive significantly lower compensation. And. The remuneration of CEOs varies greatly from year to year. The amount paid to CEOs in large companies depends on stock compensation programs and bonus payments, which fluctuate heavily each year.

Result at a glance: The top salaries of managers

The study results show that Standard and Poor's 500 stock index (SundP 500) CEOs earn around 204 times as much as their employees. The average salary of top executives is 13,8 million dollars a year, and their employees' average salaries are 77.800 dollars. In overview, this looks like this:

  1. The undisputed number one is David M. Zaslav from the media and entertainment group Discovery Communications. Its annual income is about 156 million US dollars, almost 2.000 times the average salary of its employees (80.000 US dollars).
  2. The CEO of the fast-food chain Chipotle (factor 1.522) also presents a still astronomical clash.
  3. The retail group CVS Health (factor 1.192) also has a high divergence factor,
  4. Behind it comes Walmart (factor 1.133).
  5. Companies with a European headquarters, such as the insurance groups ACE from Switzerland (factor 306), are more likely to settle in the midfield.
  6. Just over the average, Apple CEO Tim Cook: He earns around 9,2 million US dollars, his employees 36.760 US dollars. Thus his salary 251 times is higher than that of the average employee.
  7. Similarly, the case with Coca-Cola boss John Franklin Brock III (factor 230)
  8. Goldman Sachs CEO Lloyd C. Blankfein also "only" earns 207 times more than his employees.
  9. Aon from Great Britain, whose CEOs 200 times earn as much as their average employees, is also in the middle.
  10. At the Swiss technology manufacturer Garmin, which in this country, for. B. is known for his navigation devices, the remuneration of managing director Clifton A. Pemble with around 1,7 million US dollars is comparatively low and “only” 24 times higher than that of his employees.
  11. The difference in remuneration between Jeff Bezos (about 1,7 million US dollars) and the Amazon employees (114.352 US dollars) amounts to the factor 15, which is also moderate compared to the top runners in the list.
  12. And Mark Zuckerberg's yearly rate is only four times that of the Facebook employees (610.455 US dollars) with 146.120 US dollars.
  13. This shows that the pay gap in the world-renowned tech companies is comparatively low. The salary of Larry Page is only a symbolic dollar, his employees earn on average 153.150 US dollars on Google.

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