A new study has named Elon Musk as the CEO who received the highest bonus payment in recent years.
Analysis undertaken by investment website The Stock Dork examined bonus payments of CEOs from the top 50 companies over the last five years to determine those with the highest compensation payments and average compensation over the period.
The results highlight the disparity in bonus payments between CEOs and median employees - and larger issues of income inequality in corporate settings.
Such wage gaps can impact employee morale and retention, shape public perception of companies, and have broader economic ramifications due to concentrated wealth.
While some argue that CEOs' unique responsibilities and pressures justify their high compensation, concerns about fairness, equity, and the collective contribution of all employees to a company's success remain central to the debate.
Balancing the attraction of top leadership talent with broader social and economic implications poses an ongoing challenge for businesses.
Stock Dork founder Adam Garcia said of the findings: “It's intriguing to observe the compensation models of renowned CEOs. For instance, in 2022, Mark Zuckerberg of Meta Platforms chose a symbolic $1 salary and forwent any bonus. However, he received $27 million in other compensation-like awards, covering investments and security costs.”
“Many top executives increasingly favor stocks, options, and performance-related rewards. This shift in strategy aligns CEOs' incentives with their companies' growth and is well-received by board members.”
Here are the 10 who receive the biggest bonus payments.
5. Tim Cook
In fifth place, we find Tim Cook of Apple, whose yearly bonus averages $43.9 million (£35.48 million). In 2022, Tim was awarded $82 million in stocks, which means that for every dollar the average Apple employee earned that year, their CEO took home $982 in stock bonuses. Though Tim was also awarded a $12 million cash bonus, Apple heavily leans on stock awards for executive bonuses, ensuring that CEO interests align with those of the shareholders. | Getty Images
6. Satya Nadella
In sixth place is Microsoft's CEO, Satya Nadella, who receives an average bonus of $41.2 million (£33.3 million) each year. | Getty Images
7. Jamie Dimon
Securing the seventh spot is Jamie Dimon, the CEO of JPMorgan Chase, who receives an average yearly bonus of $40.6 million (£32.81 million). | Getty Images
8. Patrick P. Gelsinger
Intel's CEO Patrick P. Gelsinger ranks eighth with a yearly bonus of $37.2 million (£30.06 million). | AFP via Getty Images