BUS434 Wk 5 dis 1

It is no surprise that an executive manager earns a much higher salary than the average employee of an organization. However, the growing compensation inequity threatens to destabilize organizational morale and societal justice. "A recent study conducted at Harvard Business School found that Americans believe CEOs make roughly 30 times what the average worker makes in the U.S., when in actuality they are making more than 350 times the average worker." (Mishel& David, 2014)

Executive managers of an organization make large salary's primarily for the following reasons:

• Many receive stock as part of their salary package.

• They receive large bonuses based on the performance of the company.

• Large base salaries
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