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'Golden coffins' for executives

Posted Jun 10 2008, 03:48 PM by Kim Peterson
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You've heard of golden parachutes for executives, but how about golden coffins? Those are the benefits that executives continue to receive after their death. The Wall Street Journal exposes the practice in an article today.

If Comcast CEO Brian Roberts dies in office, for example, he'll still collect a salary and bonus for five years -- which totals more than $60 million. His family would also get $223 million from his life insurance plan. Add to that another $14 million in stock awards and other payments. 

I can understand the life insurance and stock payouts to families. But should a CEO continue to collect a salary after death? Critics call golden coffins "the ultimate in pay that isn't based on performance," the Journal notes.

What it comes down to is another perk that a company can dangle in front of a future CEO. Look for golden coffins to become standard in pay packages in the future. And that's fine. A company can pay a CEO whatever it wants in whatever form it wants. But it should disclose that pay in full to shareholders.

Companies were able to hide details of these death benefits until a federal rule changed 18 months ago. Now, they have to be more explicit about these matters. Shareholders deserve to know.

Related reading:

Do you need longevity insurance?

Why CEO pay fed the mortgage mess

3 ways companies bury their debt

CEOs who take the millions and run 

 

Comments

 

Please find me one CEO or any other honcho that is worth a million bucks let alone milions and millions even after terminating or death.  Totally agree with Jim and Ferdinand.  It is pure bunk that you have to pay outrageous salaries and bonuses to get good people.  If it all stopped tomorrow would these over paid louses stop working.  Nope.  I'll bet they would be scrambling to keep their jobs and what was offered.

you are all right but what can any thing be done about it, they own washington or washington own them whoo will every know, people it is too late , they sit back burning money that was took from us some how but all we can do now is talk about it , sorry it only get worst.........

I guess Mr. Roberts doesn't have to worry about dying in office unless he's met with a stake through the heart.  I don't have any money with or use any Comcast services, and happy about that.  Anyway, I would appreciate a daily CEO Bogus Compensation article, but don't stop there, let's see how the next 3-5 in line are compensated.  The only thing greater then their compensation are their egos and misadventures in their disastrous management of U.S. companies.  If 50% or more of the employees of a U.S. Company reside overseas, so should the CEO and his band of thieves.

This is truly sick!Our country is out of control, to allow this as well as just plain,bloated CEO pay to exist!

If I were a Comcast shareholder or customer, I would not be starting tomorrow.  This is absolutely obscene.   Does the Board of Directors of this company, which must have approved this so called PERK, have a conscious at all?  This CEO was well paid during his career?   What about the other employees and the shareholders?  Will they get some kind of a "plastic bag coffin" too???????  Totally unbelievable!

Well get used to it folks, because they have worked a long time to undermine the common worker, reap huge salarys perks and every other thing you can think of, and they can do crappy job and still get paid. Washington well you see the story bought and paid for. Insurance, oil, food,you name it, are even worse they own the Washington people too.  The rich kids, no they don't want it to change at all.

We should simply vote to take it.

After all, that's what they did.

It doesn't take a Rocket Scientist to figure out that this rate of Corporate Greed is NOT sustainable for much longer.  Look at all the historical data on previously wealthy and prosperous nations.  What killed them was nothing more than simple unrestrained pride and greed that follows closely with it.  Our founding fathers knew this all too well and tried to build a nation that was far from it.

In reality, the American Corporate Greed picture is a big mirror of our nation as a whole.  Let's face it, we in America are selfish, spoiled brats who want more and more.  We are never satisfied with the blessings we've been given as a Nation.  

How many 9/11's and or more horrible scenarios will it take for our nation to wake up?  The Good Book is never wrong........we WILL reap what we sow.

I was wondering why my Comcast bill is so expensive.

Time to shop for another provider.

I am okay with them paying a CEO millions of dollars after death if they write him a check each year and mail it to the cemetary where he's buried...with the caveat that it will be cancelled if not cashed within 3 months.

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