The salary of top managers at some of America’s largest corporations has fallen in the last decade, according to new research.
The research from PricewaterhouseCoopers (PwC) and Deloitte LLP, based on data from more than 1,400 companies, also found that compensation is lower than it was five years ago.
“As a result, the share of compensation coming from management increased over the period in which we analyzed, and it remains lower today than it did five years earlier,” the authors wrote.
The data comes as more companies move away from the traditional, profit-driven models that many had adopted after the financial crash of 2008.
The PwC report notes that the average pay for the average manager rose 5% from 2007 to 2016.
“The pay growth in 2016 was the largest in 25 years,” the report said.
PwG found that in 2017, the median annual salary for managers was $84,500.
That was up from $83,200 in 2016.
The median annual pay for executive managers rose from $90,400 in 2015 to $95,700 in 2017.
“Since 2010, average pay growth has averaged about 5% per year, and is on track to be the fastest since 1999,” the researchers wrote.
While some managers have become more valuable, other executives have become less valuable, with the median compensation for CEOs rising only 2% over the same period.
In the past five years, CEOs earned an average of $123,000.
The researchers did not break out compensation by executive status.
However, they found that executive compensation has gone down, particularly for executives who are younger and have less than 20 years of experience.
In addition, PwCs research found that companies have reduced their compensation for certain senior leaders and senior executives, but not their CEOs.
PWC’s research also found pay increases in the past three years for executives, chief financial officers, and the head of finance.
The pay gains were among the largest since PwCI started tracking executive compensation in 1995.
PWC found that the median hourly wage of executives rose 5.6% in 2017 from 2016.
PWMU’s study, which was conducted during the first three months of 2018, found that CEOs were making $82,700 last year.
In 2017, executives earned an annual average of about $89,000, up from about $88,000 in 2016, and CEO compensation was $110,400, up 4% from $107,000 a year earlier.
The report said that the pay growth was partly driven by higher compensation in the corporate office.
In 2016, the top executive earned about $1.5 million, while the bottom 10% earned about half of that, up 5% in that period.
“CEO compensation has increased over time, driven by high-performing CEOs, higher share gains, and continued strength in the market,” the PwCo report said in a statement.
In a statement, PWC said that it looked at compensation to see if there was evidence that CEOs and executives were being rewarded in ways that reflected their skills and contributions.
The firm found that while compensation has improved in recent years, it is still below the levels of compensation enjoyed by CEOs in the 1990s and 2000s.
“Despite the recent improvements, it’s not enough to make up for the gap in performance that has existed for decades,” PwCh’s CEO David C. DeFilippis said in the statement.
PWA also looked at how executives have fared in recent financial markets.
It found that executives have lost value in the markets over the last five years.
The group said that since 2007, CEOs have earned about 10% less than they did five or 10 years ago, while share prices have lost about 2% per share.
The company also said that corporate performance has declined.
“Over the last 15 years, companies have grown their earnings by a median of 2.5% per quarter.
In contrast, during this same period, CEOs’ earnings have declined by 2.1%, and their share prices fell by 2%.
This is the first time since 2007 that CEOs’ share prices are at their lowest level in nearly 25 years.”
In the first half of 2019, PWA said, stock prices dropped 6.6%, and the median wage of CEOs fell 5%.
“In short, the markets are more volatile and CEOs’ stock prices have risen by less than their share price,” PWA wrote.
PwiCh said that PwCO and PwWCI are working together to better understand what companies are doing to improve pay for CEOs and how it is impacting compensation for the broader workforce.
“In our discussions, we’ve been inspired by the strong partnership between PwCorp and PWC and our belief that we can do much more to help CEOs achieve their most important goals,” PwiC CEO Mark D. Shafer said in his statement.
The U.S. Department of Labor has set goals for corporate governance