The L-Blast | January 2022
Inflation and Executive Compensation
It’s a new year and as inflation continues to rise, budgetary concerns regarding compensation take center stage. We have been writing on this topic for several months, focusing primarily on the effects on salaries at the employee level. In this L-Blast, we hone in on the inflationary impact on executive pay. In this month’s featured article, we examine executive compensation average salary increases over the past five years as they relate to inflation. We project that for 2022, record increases in executive base salaries to above pre-pandemic levels will take effect.
We hope you find this information insightful and aids in your executive compensation decisions. As always, let us know if you have any questions regarding the topics shared in this L-Blast, or if you need help developing your executive compensation strategy.
Salary budget planning for 2022 has been a hot discussion as companies moved to finalize budgets for this year. In general, salary forecast trends for 2022 are currently tracking to be about one percent higher than previous projections earlier in 2021. Recent pulse surveys (conducted by Mercer, SHRM and WorldatWork) have surfaced suggesting companies are now looking to make increases…READ MORE
Wall Street firms are playing catch up with employee compensation, boosting pay in the second year of a deal-making and trading boom.That’s what Goldman Sachs CEO David Solomon conceded on Tuesday during a conference call with analysts to discuss the bank’s fourth-quarter results. At one point during trading, shares of the bank had fallen more than 8% after a jump in quarterly expenses took investors by surprise. READ MORE
Longnecker & Associates is Rebranding as NFP Compensation Consulting
Our transition is underway, including a new website. We will communicate further details as they become available. Thank you for your patience and support during this time.