According to an analysis by The Wall Street Journal, the average CEO among the biggest American companies earned about $12.1 million in 2017. However, the highest paid CEO in that list earned an eyebrow-raising $103.2 million last year.
Hock Tan, the CEO of Broadcom, an international supplier of semiconductor technologies, saw his company’s returns to shareholders increase by 58% in ’17, and his salary jump 318%, from $24.7 million in 2016. Sidenote: Those awarded shares won’t be immediately to Tan but vest in 2020 and 2021, and what Tan ultimately gets will depend on how Broadcom performs in the future.
So how far is the #2 CEO from Hock Tan in terms of salary? Well, Tan’s nine-figure salary is well past the second-highest-paid CEO, Les Moonves of CBS who made $69.3 million according to the analysis.
According to Time.com, “While Tan’s base, cash salary of $1.1 million in 2017 is deceptively low, the lion’s share of his money came from shares that Broadcom awarded to Tan, which held a value of $98.3 million, according to regulatory filings. Tan also took home a performance bonus of $3.7 million for exceeding revenue and operating margin targets. And his windfall includes $23,234 in travel expenses, $16,200 in 401(k) employer matching contribution, and $36,386 for car service.”
$36k for car service??
At what he’s getting, Hock Tan makes 2,039 times more than the average U.S. worker!
Broadcom last month announced that it had completed its move from Singapore back to the U.S. on the heels of President Donald Trump’s previously hosted event with Tan – an event where the President hailed the well-being of the American economy and growth of the job market, and Broadcom’s move back to the U.S. Tan expects the move to bring $20 billion in revenue for the country. But, according to Time.com, “Trump recently shut down Broadcom’s bid to overtake American rival Qualcomm, and the tech giant’s shares have dropped this year.”
Tan who is 66, came from Malaysia to the U.S. through a scholarship at MIT. He owns properties on the East and West Coast of American, and describes himself as “kind of a frugal guy.”
He has three children, two of which have autism. His family has donated $30 million to autism research.
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