Excessive Pay for Healthcare CEO’s

November 4, 2008 11:20 am Published by

William J. McDonough recently testified before a congressional subcommittee. He said: 1) In 1980, the average Fortune 500 CEO made 40 times more than the average employee. 2) In 2003, the average Fortune 500 CEO made 530 times more than the average employee.
“There is no economic theory on God”s planet that can justify that. It is grossly immoral.” Mr. McDonough said.
And Mr. McDonough should know. He now runs the Public Company Accounting Oversight Board and previously was the head of the Federal Reserve Bank of New York.
Warren Buffett agrees.
I think that the total compensation for the former CEO of hospital operator, Tenet Healthcare, in the year before Tenet’s troubles appeared was about $80 million.
And how is Tenet doing now? And Tenet’s shareholders? And Tenet’s patients?

In another story, Anthem, Inc. wants to acquire Wellpoint Health Networks for $16 billion. John Garamendi, the state Department of Insurance commissioner, wants to block part of the deal saying the combination would only benefit companies’ executives, not California consumers.
Please anyone, email me what you read about it!

I think U.S. healthcare is in pretty good shape. I find brilliant and genuine doctors and auxillary personnel, and I find completely average doctors and sloggish bureaucrats.

And I find healthcare CEO’s taking excessive compensation at the expense of the good doctors, auxillaries and bureaucrats who could all use to make a little more money, and at the expense of patients.

Please email me your thoughts.

[Read the Wall Street Journal to find a writer, Joseph Hallinan, for more info on the first subject. It was a great article. The latter info was found in the August 4, 2004 WSJ in the Health Section].

Tags: , , , ,

Categorised in:

This post was written by Interns