{"id":3363,"date":"2011-02-01T04:45:02","date_gmt":"2011-02-01T11:45:02","guid":{"rendered":"http:\/\/www.jasonapollovoss.local\/?p=3363"},"modified":"2018-09-21T02:08:18","modified_gmt":"2018-09-21T06:08:18","slug":"bank-of-americas-incentive-compensation-plan-is-a-model-for-other-financial-firms","status":"publish","type":"post","link":"https:\/\/jasonapollovoss.com\/web\/2011\/02\/01\/bank-of-americas-incentive-compensation-plan-is-a-model-for-other-financial-firms\/","title":{"rendered":"Bank of America&#8217;s Incentive Compensation Plan is a Model for Other Financial Firms"},"content":{"rendered":"<p><span style=\"font-size: 16px;\">News trickled out Monday evening about the new pay package for Brian Moynihan, Bank of America&#8217;s CEO.\u00a0 I won&#8217;t quote all of the details of the plan, but what I consider to be most noteworthy and admirable is the board of directors tying Moynihan&#8217;s pay to the Bank&#8217;s four-year performance.\u00a0 This is truly extraordinary!<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><span style=\"font-size: 16px;\">Furthermore, none of Bank of America&#8217;s executives received a cash bonus and Moynihan&#8217;s salary of $950,000 was kept flat for the upcoming year.<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><span style=\"font-size: 16px;\">I sincerely hope that this is a trend that continues in the world of business.\u00a0 I have long argued for <span style=\"text-decoration: underline;\"><a href=\"https:\/\/jasonapollovoss.com\/web2009\/03\/05\/the-incentives-are-all-wrong\/\" target=\"_blank\" rel=\"noopener\">aligning incentive compensation with long-term business goals<\/a><\/span>.\u00a0 By doing this, boards of directors dissuade executives from &#8220;swinging for the fences&#8221; when they make decisions.\u00a0 Previously executives made decisions through the myopia encouraged by very large financial reward handed out for short-term performance.\u00a0 Exasperating!<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><span style=\"font-size: 16px;\">Jason<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>News trickled out Monday evening about the new pay package for Brian Moynihan, Bank of America&#8217;s CEO.\u00a0 I won&#8217;t quote all of the details of the plan, but what I consider to be most noteworthy and admirable is the board of directors tying Moynihan&#8217;s pay to the Bank&#8217;s four-year performance.\u00a0 This is truly extraordinary! &nbsp; [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_et_pb_use_builder":"","_et_pb_old_content":"","_et_gb_content_width":"","footnotes":""},"categories":[3],"tags":[],"class_list":["post-3363","post","type-post","status-publish","format-standard","hentry","category-the-blog"],"_links":{"self":[{"href":"https:\/\/jasonapollovoss.com\/web\/wp-json\/wp\/v2\/posts\/3363","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/jasonapollovoss.com\/web\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/jasonapollovoss.com\/web\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/jasonapollovoss.com\/web\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/jasonapollovoss.com\/web\/wp-json\/wp\/v2\/comments?post=3363"}],"version-history":[{"count":0,"href":"https:\/\/jasonapollovoss.com\/web\/wp-json\/wp\/v2\/posts\/3363\/revisions"}],"wp:attachment":[{"href":"https:\/\/jasonapollovoss.com\/web\/wp-json\/wp\/v2\/media?parent=3363"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/jasonapollovoss.com\/web\/wp-json\/wp\/v2\/categories?post=3363"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/jasonapollovoss.com\/web\/wp-json\/wp\/v2\/tags?post=3363"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}