Sunday, July 21, 2019

Best Buy Co Inc's Top-Tier Executives Average Pay Raise Was a Robust But Messy 15.0% Per Year During the Most Recent Ten Years With Full 12 Months Amounts in Each Fiscal Year

From Company Proxy Statement filings with the SEC, the chart at the very bottom below are Best Buy Co's Top-Tier Executives Annual Total Compensation for each of two consecutive full years of employment for the most recent ten years.  Best Buy reported 12 Months for FYE Jan 2014 but 11 Months for FYE Jan 2013, thus these comparable period compensation amounts were excluded from the below chart.

Best Buy's Top-Tier Executives Average Annual Pay Raise of  a robust 15.0% per year over the past 10 years is the 8th highest of the 21 largest Retail Companies I have researched and made similar posts on so far:
  1. Amazon +659.0% per year for the past ten years
  2. Dollar General +34.2% per year for the past ten years
  3. McDonald's +30.7% per year for the past ten years
  4. Walgreens Boots Alliance +22.2% per year for the past ten years
  5. Ross Stores +20.8% per year for the past ten years
  6. The TJX Companies +20.7% per year for the past ten years
  7. Starbucks +16.4% per year for the past ten years
  8. Best Buy Co +15.0% per year for the past ten full years
  9. Chipotle Mexican Grill +14.3% per year for the past ten years
  10. AutoZone +13.4% per year for the past ten years
  11. Dollar Tree +13.2% per year for the past ten years
  12. CVS Health +13.1% per year for the past ten years
  13. Sherwin-Williams Co +12.0% per year for the past ten years
  14. The Kroger Co +11.2% per year for the past ten years
  15. Target Corp +10.1% per year for the past ten years
  16. O'Reilly Automotive's 8.4% per year for the past ten years
  17. Costco +7.1% per year for the past ten years
  18. Home Depot +6.5% per year for the past ten years
  19. Walmart +5.8% per year for the past ten years
  20. YUM! Brands +4.9% per year for the past ten years
  21. Lowe's Companies +4.2% per year for the past ten years

    To fix Income Inequality driven mainly by Company and its Board of Director choices on Percentage Annual Pay Raises, the US Government should step in and pass wisely-designed Fair Pay Raise Income Inequality Narrowing Company tax incentives ..... the carrot ..... and Company wise tax disincentives ..... the stick.  

    And the continuing annual net tax revenues raised by the US Government here should be set up in a separate fund to be used only for wise additional income inequality narrowing initiatives.  This fund should be run by an outside group made up entirely of minorities harmed the most by Income Inequality Expansion of the past decades  .....all women, all blacks, all Latinos, all other non-white people, all past and present union members, all LGBTQ, all non-employee contract workers and all middle and lower income people of all ages.


    Also, the US Government should require all US Corporate Boards to include at least one worker representative and to exclude any Company Executive. 

    I have researched and made posts on Top-Tier Executives Long-Term Average Annual Pay Raise per year for each of the 30 Dow Industrial Companies and for 22 of the largest Non-Dow Technology Companies.  

    I am now turning my attention to large Non-Dow, Non-Technology Companies and I have started with the US Retailers.  

    My objective is to get an even better handle on just why the US has such massive continuing Income Inequality Expansion ..... it appears to be predominantly about the relative long-term annual pay raise percentages, coupled with the stock price appreciation subsequent to the time the Top-Tier Executives were rewarded in their pay with stock equity compensation.

    FYE FYE FYE FYE FYE FYE FYE FYE FYE FYE
    Jan Jan Jan Jan Jan Jan Jan Jan Jan Jan
    Best Buy Co 2019 2018 2018 2017 2017 2016 2016 2015 2015 2014
    Top-Tier Total Total Total Total Total Total Total Total Total Total
    Executive Comp Comp Comp Comp Comp Comp Comp Comp Comp Comp
    $ 000s $ 000s $ 000s $ 000s $ 000s $ 000s $ 000s $ 000s $ 000s $ 000s
    Hubert Joly CEO     17,382     16,814     16,814     14,038     14,038     14,912     14,912     12,964     12,937     13,881
    Corie Barry CFO       5,920       4,839       4,839       3,602  N/A   N/A 
    Michael Mohan COO       6,694       6,234       6,234       5,315       5,315       4,678       4,678       4,196       4,196       4,069
    Keith Nelsen General Counsel       3,657       3,627       3,627       3,108       3,108       3,288       3,288       2,558       2,558       2,668
    Kamy Scarlett Chief Human Resources Officer  N/A   N/A 
    Shari Ballard President Multi-Channel Retail       6,705       6,206       6,206       4,264       4,264       6,643       6,643       3,054       3,054       3,038
    Sharon McCollam CFO               7,160       7,624       7,624       6,985       6,985       7,299
    Totals     40,358     37,720     37,720     30,327     33,885     37,145     37,145     29,757     29,730     30,955
    Annual % Change vs Prior Year 7.0% 24.4% -8.8% 24.8% -4.0%
    5 Year Average Per Year % Change 8.7%
    FYE FYE FYE FYE FYE FYE FYE FYE FYE FYE
    Feb Feb Feb Feb Feb Feb Feb Feb Feb Feb
    Best Buy Co 2012 2011 2011 2010 2010 2009 2009 2008 2008 2007
    Top-Tier Total Total Total Total Total Total Total Total Total Total
    Executive Comp Comp Comp Comp Comp Comp Comp Comp Comp Comp
    $ 000s $ 000s $ 000s $ 000s $ 000s $ 000s $ 000s $ 000s $ 000s $ 000s
    Hubert Joly CEO        
    Michael Mohan COO
    Keith Nelsen General Counsel       1,320          686          686          893  N/A   N/A     
    Shari Ballard President Multi-Channel Retail       3,796       1,859       1,859       2,920       2,920       1,357       1,357       2,110       2,297       2,746
    Sharon McCollam CFO
    Brian Dunn Former CEO       8,215       5,030       5,030     10,232     10,232       2,380       2,380       3,964       3,872       4,544
    James Muehlbauer Former CFO       4,012       2,142       2,142       2,958       2,958       2,307       2,307       1,377       1,287       1,050
    Carol Surface Chief Human Resources Officer       2,230       3,275  N/A   N/A     
    Michael Vitelli Former President UA       3,759       1,836       1,836       2,420       2,420          919          919       1,062
    Bradbury Anderson Former CEO       1,263       3,183       3,597       5,597
    John Pershing Former EVP Human Capital          854          586
    Robert Willett Former CEO       2,056       8,284       4,678       8,593
    Totals     23,332     14,828     11,553     19,423     18,530       6,963     11,136     20,566     15,731     22,530
    Annual % Change 57.4% -40.5% 166.1% -45.9% -30.2%
    5 Year Average Per Year % Change 21.4%
    10 Year Average Per Year % Change 15.0%