The topic of today is ‘’executive pay’’.
Lekcje angielskiego przygotowuje firma 
Task 1
Read the information below to get the general idea:
It is a common practice for every company to have its own remuneration policy based on internal rules and certain criteria. In other words, the level of your monthly payment basically depends, among other factors, on your position in a hierarchy, overall experience and performed duties. The higher up the ladder you are positioned, the more money you can expect to get.
In theory, the above mentioned model seems perfect, but in practice it does not always work so smooth. In particular, doubts are cast when it comes to top CEOs, who are sometimes referred to as ‘’fat cats’’. By definition, they earn unbelievably and unreasonably high salaries along with other perks and rewards, even despite poor corporate results. They also receive generous pensions and retirement packages, consisting of extra compensation (so called ‘’guaranteed bonuses”), which are hardly ever available to other company employees. Additionally, to secure their future, fat cats are also frequently offered special, yet very attractive severance deals (known as ‘’golden parachutes’’), in case the Board unexpectedly decides that they should leave the company quietly or without a legal fight. Even if things are going bad in a company, the money has to be paid; but is it fair? Should remuneration committee members reward failure or rather success?
In conclusion, ‘’theory helps, but there is art to applying it’’. (unknown)
Task 2
Study the text and answer the following questions :
1. What is the relationship between ‘’pay’’ and ‘’position’’ in a company?
……………………………………………………………………………..
2. Who is called ‘’ a fat cat’’ and why?
……………………………………………………………………………..
3. What constitutes ‘’fat cats’’’ remuneration packages?
……………………………………………………………………………..
4. What should companies reward ?
……………………………………………………………………………..
Task 3
Watch the video ‘’IPPR with Kayte Lawton” and supply the missing information in the sentences below:
https://www.youtube.com/watch?v=WneZA0BFQsc
1. The IPPR’s recent analysis suggests that executive pay increases are not ………………………………. by the …………………………….. of the companies they run.
2. …………………… companies have been examined within ………… years.
3. It has appeared that CEO pay went up by …………….. % on average, but the company value only increased by ………….% on average.
4. Top pay increases have been observed particularly in the following sectors: ……………………. (……….%), media, ……………………, ………………….. industry.
5. The relationship between the increase of company value and the increase in top pay is not ……………….
6. To tackle ……………………. top pay, the government is going to be announcing some ………………….. quite soon, which are very welcome.
7. The IPPR wants to rely more on ……………………………… and ………………………………….. directors, because of their role in a company.
8. Employees have a clear ……………………….. of how companies work and how ………………… they are doing.
Hire slow but fire fast KEY TO EXERCISES
Task 2
1. The higher the position, the bigger the remuneration.
2. A CEO because of their ‘’unlimited’’ pay packages.
3. A high monthly salary plus additional perks, bonuses, rewards and other compensation deals.
4. Companies should reward performance not failure.
Task 3
1. The IPPR’s recent analysis suggests that executive pay increases are not ………JUSTIFIED…. by the …PERFORMANCE.. of the companies they run.
2. ……87… companies have been examined within ……3… years.
3. It has appeared that CEO pay went up by …33….. % on average, but the company value only increased by …24….% on average.
4. Top pay increases have been observed particularly in the following sectors: …BANKING…. (…81….%), media, …INSURANCE…, ………TOBACCO…….. industry.
5. The relationship between the increase of company value and the increase in top pay is not …CLEAR….
6. To tackle …EXCESSIVE…. top pay, the government is going to be announcing some …PROPOSALS….. quite soon, which are very welcome.
7. The IPPR wants to rely more on …SHAREHOLDERS… and ………NON-EXECUTIVE….. directors, because of their role in a company.
8. Employees have a clear ……UNDERSTANDING….. of how companies work and how ……WELL…… they are doing.
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