Amazon just held its shareholder’s meeting and everyone is mad, but for the wrong reason.
Amazon’s CEO got approval for 212m in compensation which pissed off many people, but what’s more worrying to me is the 15 other denied resolutions.
Firstly, yes $212 million is a lot, but it’s vested over a 10-year period, which comes out to be around $21M per year.
That’s in line with what other fortune 500 CEOs make, and if he quits, he will only get the compensation up until that point. That’s how vesting works.
If that makes you mad, you might want to go take a look at what top hedge fund managers make.
So honestly, I think Andy Jassy’s compensation is high but not out of line.
Everyone should be mad about something far worse that came from this shareholder’s meeting.
What Everyone Is Missing
During the shareholder’s meeting, stockholders voted down more than 15 resolutions on topics like sustainability, pay fairness, workplace safety, tax reporting, and more. This is a new record.
You can view all the resolutions voted down and a visual summary of the meeting here.
Im a believer in entrepreneurship, but I also believe mega-corporations like Amazon should be held to a higher standard and be accountable. Instead, we get the complete opposite and it’s actually getting worse.
Oceana reported that amazon produced 599 million pounds of waste in 2020 alone, with about 23 million pounds ending up in the ocean.
Even though all of this is coming out, I don’t see anything being done about it.
To me, it’s a little disappointing to see Amazon shoot down all of these resolutions. They’re unwilling to even address these issues, and it’s been like this for years.
That’s what everyone should be talking about, not Andy Jassy’s compensation.
My question to you is, what do you think needs to happen for real change to occur?