REAP AS YE SHALL SOW

PAY-FOR-PERFORMANCE STANDARDS ARE A JACKPOT THIS YEAR FOR EXECUTIVES, BUT NOT FOR WORKERS

ANGRY INVESTORS CLOSED OUT THE Decade of Greed with demands that executive compensation be tied to company performance. In other words, CEOs should pocket a bundle only if their companies make a bundle. And make a bundle they did. By laying off employees, merging and acquiring at a record pace, slicing employee health-care costs and scoring strong sales, U.S. companies enjoyed record profits in 1995.

Now CEOs are reaping what stockholders sowed. Results, as published in corporate proxy statements, are just starting to roll in, but it is already clear that a gold rush is on. Says Joan Zimmerman, executive vice...

Want the full story?

Subscribe Now

Subscribe
Subscribe

Get TIME the way you want it

  • One Week Digital Pass — $4.99
  • Monthly Pay-As-You-Go DIGITAL ACCESS$2.99
  • One Year ALL ACCESSJust $30!   Best Deal!
    Print Magazine + Digital Edition + Subscriber-only Content on TIME.com

Learn more about the benefits of being a TIME subscriber

If you are already a subscriber sign up — registration is free!