Not a Member? Get access to HR news and resources that you can trust.
We asked HR professionals to tell us about their time in HR. Here are their stories.
Is your employee handbook keeping up with the changing world of work? With SHRM's Employee Handbook Builder get peace of mind that your handbook is up-to-date.
Instructor-led guidance for your SHRM-CP/SHRM-SCP exam, no travel or time out of the office required.
#SHRM18 will expand your perspective – on your organization, on your career, and on the way you approach HR. Join us in Chicago June 17-20, 2018
Since the onset of the economic downturn, organizations across the U.S. have found their executive compensation packages placed under a magnifying glass and scrutinized at every turn. As a result, fewer companies are offering perquisites to their highest ranking employees. According to the
Executive Compensation 2010/2011 survey results from
Compdata Surveys, 77.6 percent of organizations offer perks to their chief executive officers in 2010—down from 89.8 percent in 2009.
“Perks” are any supplemental reward not tied to performance. Typically, their purpose is to reward a company’s top officers in a way that conveys status or enables them to do their jobs more efficiently—and sometimes both. Crafting packages that attract and reward top talent without crossing into the kinds of gratuitous extravagance that alienate workers and shareholders— or government watchdogs —is a vital HR challenge, especially in a sluggish economic environment .
Of the perks offered to CEOs in 2010, the most prevalent were:
In addition, more than 20 percent of companies offered supplemental disability and voluntary deferred compensation programs to CEOs.
"Companies have a difficult challenge in balancing the types of perquisites they offer their top employees," said Amy Kaminski, director of marketing for Compdata Surveys, which conducted the survey. "Although many companies have started offering perks of a more practical nature, offering traditional perks such as supplemental executive retirement plans can be a useful tool in maintaining employee morale. This is particularly important in light of the pay cuts executives have seen in the last couple of years."
Perks vary by industry, the survey found. For instance, note the differences in the percentage of chief financial officers that are offered voluntary deferred compensation in the following industries:
In addition, perks vary by region. For instance, companies offer club memberships to presidents at the following rates in these locations:
Executive Compensation 2010/2011 survey analyzed national and regional data from over 4,500 organizations across the U.S., reporting on over 20,000 executives.
Stephen Miller is an online editor/manager for SHRM.
Employees Report Cutbacks in Pay, Benefits and
SHRM Online Benefits Discipline, July 2010
Pay Czar Targets Runaway
Perks , Bonuses ,
SHRM Online Legal Issues, December 2009
SHRM Online Compensation Discipline
Sign up for SHRM’s free
Compensation & Benefits e-newsletter
You have successfully saved this page as a bookmark.
Please confirm that you want to proceed with deleting bookmark.
You have successfully removed bookmark.
Please log in as a SHRM member before saving bookmarks.
Your session has expired. Please log in again before saving bookmarks.
Please purchase a SHRM membership before saving bookmarks.
An error has occurred
Recommended for you
CA Resources at Your Fingertips
SHRM’s HR Vendor Directory contains over 3,200 companies