The Salaries of Disney Execs

cartoonbrew.com ^ | 2008.01.22 | "Amid"

[B-Chan]

While Disney artists bring their imaginations to life through animation, Disney executives are living a lifestyle that animators can’t even begin to imagine. The Wall Street Journal recently reported that Disney chief executive Bob Iger received a 7% pay increase in 2007 for a total financial compensation of $27.7 million. According to the company’s proxy statement, the breakdown is as follows: $2 million salary, which remained the same as 2006; a $13.7 million bonus, which was a decrease from his $15 million bonus in ‘06; stock awards totaling $7.9 million, and $740,000 for personal air travel, security and a car benefit. Other Disney execs who earned healthy sums were CFO Thomas Staggs ($9 million), General Counsel Alan Braverman ($7.9 million), executive vp of human resources Wesley Coleman ($2.7 million) and executive vp for corporate strategy Kevin Mayer ($2.6 million). With figures like these, there’s only four words these guys can be thinking right now: High School Musical 3.

(PS: If you’re curious about what the average animation artist makes, download this PDF of the 2007 wage survey by the Animation Guild, Local 839 IATSE.)

[B-Chan]

Disney chief executive Bob Iger received a 7% pay increase in 2007 for a total financial compensation of $27.7 million.

My question: did Mr. Iger do $27.7 million worth of useful work in 2007?

For the record, the highest-paid creative-side animation professionals make about $50K/year in the L.A. market.

NOTE: I work in the animation business (though not for Disney and not in California).

[Loud Mime]

They’re raking in the family bucks. Try taking a family of 6 to Disneyland; it’s not cheap.

[americanophile]

Hey, if it’s okay with their shareholders, it’s okay with me.

[Oldexpat]

You need to organize and strike..otherwise you are road kill on the hiway of corp america.

[CindyDawg]

No offense intended but what has his salary got to do with theirs?

[DoughtyOne]

No offense to you, but executive make more money than the rank and file. Who knew?

While I can think of many reasons why these salaries are not right, that is what the corporation has deemed these execs worth, and shareholders make money as a result.

Who am I to disagree? If Disney didn’t pay a going scale, someone else would. A corporation like Disney needs one of the best, and to have that you have to pay one of the best salaries.

[Spktyr]

Didn’t Iger help oust Eisner?

[B-Chan]

Philosophically, I support the writers’ strike. However, I don’t belong to IATSE or the WGA myself. I live and work in Texas.

[Spktyr]

Hm.. organize and strike.

Yes, what a wonderful way to get America to hate and/or ignore you.

The more unions go on strike, the more people hate unions.

[Spktyr]

Funimation/Navarre?

[capt. norm]

They’re raking in the family bucks. Try taking a family of 6 to Disneyland; it’s not cheap.

And once you've paid at the gate and are inside, they will finish emptying your pockets on food, treats, etc. and that will end up costing at least as much as it cost to get in in the first place.

[B-Chan]

With all due respect: no human being can do $27M worth of useful work in a year.

Executives as we know them today are no longer necessary for the success of a business venture. Technological advancements and improved communication capabilities are enabling small, flat employee-owned businesses to outcompete top-heavy vertical behemoths. In any case, most of the top-level execs with whom I have worked have been more an obstacle to productivity than anything else. In my experience, one could replace the CEO of most any big corporation with a jar of ordinary table mayonnaise with no ill effect to the company.

Small, creator-owned animation companies will eventually drive Disney out of the animation business. Until then, the people who actually make the cartoons will continue putting in the long hours to line their useless masters’ pockets.

[life more important]

These guys don’t seem very conservative, to me. I mean, they don’t seem to care about their company conserving its profits, by how much they’re draining.

[Spktyr]

Never mind, just read your bio page. Great work you do over there; though I hate to say that I haven’t seen much of what’s on your Wikipedia credited list. Keep it up; I can’t wait to see what rolls out of your studio next.

[Doe Eyes]

With all due respect: no human being can do $27M worth of useful work in a year.

He worked late a lot (7-8 PM) and some weekends too.

[max americana]

>>> For the record, the highest-paid creative-side animation professionals make about $50K/year in the L.A. market.

NOTE: I work in the animation business (though not for Disney and not in California).<<<

I know some Filipino guys in the animation department for Clasky Csupo, who make the Rugrats. They;re just 5 blocks away from my place and you are almost correct...the average is $40 K.

[DoughtyOne]

With all due respect: no human being can do $27M worth of useful work in a year.

That's a fair response, but then it's not up to you and I.  It is up to the corporate board.  The corporate board thinks the salary is reasoned.  The stockholders have the right to show up at stockholder meetings and protest this.  You don't see much of it.

Executives as we know them today are no longer necessary for the success of a business venture.

I know that some folks think that is true, but I don't agree.  If corporations are making money, and they deem the corporate heads to be necessary, they are.

Technological advancements and improved communication capabilities are enabling small, flat employee-owned businesses to outcompete top-heavy vertical behemoths.

What has that got to do with Disney?  Is any small, flat employee-owned business threatening to take Disney down?  Have they taken Disney down?

In any case, most of the top-level execs with whom I have worked have been more an obstacle to productivity than anything else.

That's an age old complaint.  It isn't necessarily anything new.  I've dealt with that type of managment environment for thirty-five years.  I was jetesoned by a corporation last August.  So were a good many other employees, and I can tell you the place I left was run terribly.  They were losing business left and right and running too thin an employee pool, to get the job done.  Still, they make decisions with information that I'm not privy to.  That's what executives do.  If I were the executive I would be making unpopular decisions as well, and so would you.  It's the nature of the beast.

In my experience, one could replace the CEO of most any big corporation with a jar of ordinary table mayonnaise with no ill effect to the company.

So in your estimation thousands of corporations in the United States would benefit incredibly by jetesoning their CEO, but none of them are doing it.  Does that raise any questions in your mind?

Small, creator-owned animation companies will eventually drive Disney out of the animation business.

They may and they may not.  It's my opinion that Disney values it's animation business.  It feeds their brand, and I don't see them relinquishing it.  They may outsource all of it, but they will remain in that field and continue to control and expand their animation 'stars'.

Until then, the people who actually make the cartoons will continue putting in the long hours to line their useless masters’ pockets.

This is the employer/employee relationship.  It has always been the case and it will remain the case.

The more successful businesses become the larger they get and the more they go the corporate route.  Some won't, and it will work for them.  Others will and that will work for them as well.

If you don't like how you are being treated, get some of your friends together and start one of those flat employee modeled enterprises.

I wish you good luck if you should.  I like the idea of what you express, but I also recognize the corporate model and realize it will remain much like it is.

[gunservative]

With all due respect: no human being can do $27M worth of useful work in a year.

It's quite easy, really. Just have a hit movie, album, TV show, stage show, book, speaking tour, be an exceptional player of a sport, etc etc etc... If they'll pay, you'll get paid.

[Young Scholar]

With all due respect: no human being can do $27M worth of useful work in a year.

Steve Jobs saved Apple from the brink of failure and turned it into a $140 billion company. Sometimes it's hard to know how much credit a CEO deserves for a company's success, but in this case there is little doubt he essentially turned Apple around.

Wouldn't you say he did at least $27 million of useful work there?

[B-Chan]

Thanks for the kind words. Please keep in mind, however, that I’m strictly small potatoes; I can’t take credit for the excellent, excellent work the company’s directors, engineers, and experienced actors do. I hope someday to become competent at the craft, but as of now I’m only a beginner.

[torchthemummy]

Hey, if it’s okay with their shareholders, it’s okay with me.

Exactly. And at the same time if the libs are going to berate oil, Walmart execs etc. then they have to also mention those CEO's of Corporations that provide for Democrat-Liberal Hollywood.

[Young Scholar]

Speaking as a shareholder...

I opened this thread expecting to see another $100+ million paycheck like the one Eisner took home a while back. I wouldn’t always object to even this, although given the fact that Disney stock is about where it was 10 years ago it would be hard to make the case it was deserved.

But $27 million? That’s hardly unreasonable for the CEO of a $35 billion company.

[thefactor]

yeah it’s called capitalism. Good for them.

[IDontLikeToPayTaxes]

Leave it to the boneheads at Free Republic to chat in unison "well if the Board of Directors think it's a fair salary, so be it." What if the BoD wanted to fire everybody and hire illegals from Mexico, would that be OK?

So there should be a shareholder revolt to protest the inflated compensation packages these top execs get? Hey guess what, folks? A lot of the shares of those companies belong to top management themselves, their families and mutual fund companies. It's not like a corner market where everybody can sit down and talk things over.

From my own observations, the salary of highest levels of management in this country is nothing more than a sleazy money grab for the wealthy to keep themselves, their friends, and when their kids get out of college, their kids wealthy. It's almost like the monarchy in England. Just look at the gross incompetence of some of the CEOs in the past. What do they get? They get fired, with multi million dollar severance packages.

Just look at Mitt Romney. Everybody praises his amazing skill at being a business leader. What nobody ever says is that Mitt isn't exactly some kid from the block. He is the son of a governor and comes from an extremely wealthy family. Of course he's been given opportunities to excel; opportunities that some average kid from the neighborhood would never get.

In summary, I and most Americans think that the pay for the highest levels of "management" in this country is broken. Very broken.

[Young Scholar]

Just look at Mitt Romney. Everybody praises his amazing skill at being a business leader. What nobody ever says is that Mitt isn't exactly some kid from the block. He is the son of a governor and comes from an extremely wealthy family. Of course he's been given opportunities to excel; opportunities that some average kid from the neighborhood would never get.

Opportunities to excel =/= guaranteed success. Mitt made hundreds of millions of dollars by turning companies around; his family didn't just arrange to have those companies turned around for him.

BTW, given your complaints about corporate executives you should love private equity guys like Mitt. Many of them basically invest in decent companies that are being run ineffectively (and are thus undervalued), install new management or teach the old management how to run the company better, and then profit.

[Axenolith]

Mr. Iger could have played golf all year for what it's worth to this non Disney Stock holder. Now, if I owned the stock, I would have had a dog in that hunt...

[Kickass Conservative]

Where’s the part where they point a gun to your head and make you visit Disneyland?

[Harpo Speaks]

You know why they call it the Magic Kingdom? Because if you leave with any money in your wallet it’s a miracle!

[ReignOfError]

Those are pretty modest salaries for top execs at big companies. For me, the bog Kahuna of exorbitant CEO salaries is Dick Grasso, the CEO of the NYSE, who made more than his company did before they finally booted his ass.

[DoughtyOne]

Leave it to the boneheads at Free Republic to chat in unison "well if the Board of Directors think it's a fair salary, so be it." What if the BoD wanted to fire everybody and hire illegals from Mexico, would that be OK?

Well, that would be against the law.  Corporate salaries that are determined by the corporate executives are not.

So there should be a shareholder revolt to protest the inflated compensation packages these top execs get? Hey guess what, folks? A lot of the shares of those companies belong to top management themselves, their families and mutual fund companies. It's not like a corner market where everybody can sit down and talk things over.

In most corporations, if you own even one share of stock, you can attend anual stockholder meetings and pose questions.  If you have a concern, there are newspapers, industry newsletters and a buch of other ways to get your views out to the other members of the public.

From my own observations, the salary of highest levels of management in this country is nothing more than a sleazy money grab for the wealthy to keep themselves, their friends, and when their kids get out of college, their kids wealthy. It's almost like the monarchy in England. Just look at the gross incompetence of some of the CEOs in the past. What do they get? They get fired, with multi million dollar severance packages.

What you are addressing is class envy, something that is very big in the democrat party.  They are quite anti-Corporation and would be perfectly happy to represent your views along these lines, since they already mirror them.

Good Lord, listen to yourself.  This is the communist arguement all over again.

What do you propose, the Congress of the United States capping corporate salaries?  Perhaps they should just nationalize all of them too.  Would that suit you?

Just look at Mitt Romney. Everybody praises his amazing skill at being a business leader. What nobody ever says is that Mitt isn't exactly some kid from the block. He is the son of a governor and comes from an extremely wealthy family. Of course he's been given opportunities to excel; opportunities that some average kid from the neighborhood would never get.

I will never cast a vote for Mitt Romney, by it isn't his fault that his dad was a governor or wealthy.  This nonsense you're spouting if extended to it's end result, would mean that the offspring of wealthy people would be barred from corporate or political participation in the interest of fairness.  Geez bud, you're singing the third verse of communism here.  I want no part of it.

In summary, I and most Americans think that the pay for the highest levels of "management" in this country is broken. Very broken.

B.S.  Something is broken, but it's between your ears.

[ReignOfError]

Steve Jobs saved Apple from the brink of failure and turned it into a $140 billion company. Sometimes it's hard to know how much credit a CEO deserves for a company's success, but in this case there is little doubt he essentially turned Apple around.

Not only that, but he turned Disney around.

Name the last Disney animated flic that didn't come from Pixar. I'm serious. Hercules? Brother Bear? Please.

[ReignOfError]

I'm sorry. I meant to say the last good Disney animated flic that didn't come from Pixar.

[torchthemummy]

Just look at Mitt Romney. Everybody praises his amazing skill at being a business leader. What nobody ever says is that Mitt isn't exactly some kid from the block. He is the son of a governor and comes from an extremely wealthy family. Of course he's been given opportunities to excel; opportunities that some average kid from the neighborhood would never get.

Oh quit the BS class warfare crap, Bonehead (using your word). I am a conservative which means I believe in individuals. I presume everyone innocent until proven guilty. Mitt Romney didn't begat his father so what in God's name is he supposed to do - roll over because he came from a family that had money and status? If I need this crap I'll go to DU/KOS and listen to liberal trustfund babies who so care about the world but don't dare take away their Starbucks, designer clothes, or Jaquars. They are the hypocrites that will bemoan the rich but refuse to give up the perks of their wealth while Romney worked hard, made his own money, and cares about those with less by supporting self-advancement vs. self-pity, aka the left.

[x_plus_one]

My question: did Mr. Iger do $27.7 million worth of useful work in 2007?

Organized criminal enterprises don't take "work" into consideration.

[Gigantor]

"My question: did Mr. Iger do $27.7 million worth of useful work in 2007?" My question to you, how much $ did Mr. Iger control in 2007?

[Young Scholar]

LOL, good point.