The growing disdain for the working class and entitlement of the upper crust in this country really is astounding. I mean, you read the WSJ editorial page and see all sorts of huffing and puffing about unions -- especially those overpaid teachers -- the 'crippling anti-growth' increase in corporate oversight in the wake of the Enron and other scandals, misguided calls for greater accountability of govt. contracts with the likes of Halliburton.
But you'll never read a peep about this...
Because of what the company called an "improper interpretation" of his employment contract, Sheldon G. Adelson, chairman, chief executive and treasurer of the Las Vegas Sands Corporation, received $3.6 million in salary and bonus last year, almost $1 million more than prescribed under the company's performance plan.
Four more top executives of the Las Vegas Sands, which owns the Venetian Resort Hotel and Casino, received more than they should have. The total in excess bonus payments for the five men was $2.8 million.
The compensation committee of the board conceded that it had made an error. But it said that "the outstanding performance of the company in 2005" justified the extra money, and it allowed the executives to keep it.
Shareholders of Las Vegas Sands did not fare as well. The value of their holdings fell 18 percent last year.
Needless to say, the well-done article by Gretchen Morgenson goes on to detail how top executive compensation packages are written using very vague measures that boards "may or may not" consider in deciding bonuses. But for the stockholder and employees further down the rung, no such wiggle room exists, eh?
And for those stockholders who want to figure out just how these compensation packages are constructed and will affect them as a stockholder, those "vague measures" pretty much make it impossible.
I'm not the best to comment on this sort of thing, as I know pretty much nothing about economics, other than what I've been trying to learn from bondad. As he recently explained, though, wages for the average Joe and Jane are flat. Rest assured, I'm fairly sure that there are no mistakes in the calculations of their bonuses... for those even lucky enough to get one.