> Most companies can do it.
Compensation is a Huge lever on earnings. There would certainly be a consequence on the stock price if margins diminished due to overly extravagant raises, which they most certainly would in a most if not all cases.
Compensation is a Huge lever on earnings. There would certainly be a consequence on the stock price if margins diminished due to overly extravagant raises, which they most certainly would in a most if not all cases.
If they focus on those, it wouldn't be "overly extravagant raises", just... "staying up to date".
IME, people are a lot more sensitive to lowered stock prices than meager annual increases. The latter doesn’t feel emotionally like a loss.
We are a very loss averse species.