Scott Galloway : The Real Problem with CEO Pay | Office Hours
Scott Galloway takes listener questions on CEO pay, engaging young men in community service, and handling high-performing employees whose goals don't match company strategy.
The gist
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Galloway says the real problem is tax structure: a CEO earning $1M in stock pays far less tax than a lawyer earning $1M in salary.
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CEO pay doubles roughly every 3.5 years because boards pay 20% above median to attract talent, pushing every company's median higher over time.
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Galloway favors a $25/hour minimum wage in urban areas and raising the corporate alternative minimum tax to 40% over capping executive pay directly.
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When a top employee chases a misaligned opportunity, he says to first quantify the margin and revenue before deciding whether to shut it down or spin it off.
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