Center On Executive Compensation
News

Center Survey: Use of the Corporate Jet Is #2 Most Common Perk for CEOs After Executive Physicals

The Center launched an updated survey to get insights into the types of executive perquisites offered to executives by level, including the CEO, NEOs, CEO direct reports and the board of directors. Additionally, we asked several questions related to common business travel practices on commercial airlines and company aircraft. 81 members completed the survey. Thanks to all who participated!

A summary of the results is outlined below. Comprehensive results are also linked here.

Prevalence of Executive Perquisites & Practices 

  • 91% of respondents indicate that they offer perks in some form to employees.

  • 82% reported that they have not received negative feedback or comments on their perks from shareholders and/or ISS – and 85% do not provide tax gross-ups for perks.

CEO Perks

  • The most common perk offered was executive physical health exams (75%), followed by use of the company aircraft (73%) and personal financial planning (57%).

  • Less common perks: Cash perk allowance (7%), supplemental health benefits (6%), country club/dining club memberships (6%).

Board of Directors Perks

  • 70% indicated that directors were not eligible for perks.

  • 15% reported they had access to company aircraft; 12% reported other perks such as charitable matching contributions, allowance for company products and minimal incidental benefits such as small gifts and event tickets.

Business Travel Practices

  • 84% of companies indicated they provide private or company-owned aircraft for business-related travel.

    1. Of these, 76% of firms own the aircraft and 24% lease.

    2. 49% reported company aircraft was for CEO only, but usually would include NEOs (64%) and CEO direct reports (62%). 

Personal Use of Company Aircraft

  • 67% of firms indicated they allowed personal use of private or company-owned aircraft.

  • Spouses are typically eligible to use if accompanied by the eligible employee (92%).

Published on:

Authors: Megan Wolf

Topics:

MORE NEWS STORIES

Jamie Dimon Fires Back at Proxy Advisors
Corporate Governance

Jamie Dimon Fires Back at Proxy Advisors

April 19, 2024 | News
2024 Early Proxy Filers: Overall Performance Flat; CEO Pay Up
Executive Pay Plan Design

2024 Early Proxy Filers: Overall Performance Flat; CEO Pay Up

April 19, 2024 | News
LOAs for Directors? No, It Doesn’t Work Like That
Compensation Committee and Board

LOAs for Directors? No, It Doesn’t Work Like That

April 12, 2024 | News

Continue reading this content with the Center On Executive Compensation Membership package