[quote=SD Transplant] His contract also has a clause that is somewhat like the “franchise player” status in the NFL. His salary can never drop below the third-highest city manager in San Diego County.”[/quote]
That’s the only part the really bothers me. This is the underlying cause of the massive increases in CEO pay over the last 30 years relative to Everyone Else. Every board of directors, board of supervisors, etc. thinks their CEO/City Manager/[Insert Title Here] is better than average and should be paid accordingly. And what we end up with is just a massive grade inflation that gets worse every year and with a huge compounding effect. It’s like Garrison Keillor’s Lake Woebegone where “all of the children are above average.” These clauses disgust me. A better way of going about compensating ANY senior executive is to set up a wide range of specific goals (that actually make sense) and compensate them based on achieving those goals. Still wouldn’t be perfect – no compensation system is. But just saying that Joe Blow’s comp will not drop below the third-highest paid city manager in Pallucahville is absolutely ridiculous. Whoever approved that sort of contract should be fired on principle.
