It is believed that chief executive officers ought to be paid significantly higher salaries by large companies nowadays. As far as I am concerned, I do partly agree with the statement for several reasons which will be analyzed in this essay.
On the one hand, CEOS play a critical role in the growth and development of a company often gains undeniable benefits. Firstly, it is obvious that the extensive practical experiences acquired by CEOs over the years equips them with a high level of sensitivity and adaptability in their selection making. This is a result of the years spent gaining the value knowledges as well as practical knowledges that they collect in working environment. Secondly, CEOs are invariably face to the pressure when managing a large amount of works. Therefore, providing them with a suitable salary can increase their motivation in working process. Finally, no one can deny that with higher positions come greater responsibilities, CEO must be good at diversity aspects such as financial management. Hence, offering a high salary is a recognition of CEOs.
On the other hand, there are compelling arguments against the viewpoint of high salaries for CEOs or presidents. Firstly, it can be proven that such practices may lead to feelings of unfairly in employees. So it can lead a prone to minimize the productivity of company. Last but not least, allocating salary to CEOs can make a bad affect for budget’s company due to a large amount of money that company have to pay for CEOs.
Taking everything into conclusion, from the mentions above , it is necessary when paying a significantly salaries to CEOs but need to consider other salary of employees to make sure balance and fairly for all members in company. In addition, companies should offer high salaries for excellent employees based on contribution and achievements before making final decisions.