Marketplaces Reveal CEO Compensation: eBay, Amazon, Etsy

EBay’s CEO received the highest compensation from his immediate peers in 2020. Jamie Iannone, who became CEO of eBay on April 27 last year, received total compensation of $ 35 million in 2020. That equates to nearly $ 1.7 million for Amazon CEO Jeff Bezos and $ 1.9 million for Etsy CEO Josh Silverman (or $ 7 million if you factor in Silverman’s frontload grant – more further below).

As of 2018, public companies have been required to provide the CEO compensation ratio metric, which highlights the discrepancy between the CEO and the average employee compensation.

However, when comparing eBay and Etsy with Amazon, apples are compared to oranges, as Amazon not only operates an online marketplace and cloud hosting services, but also a logistics operation that includes low-wage workers such as warehouse workers.

Additionally, Jeff Bezos, CEO of Amazon, is receiving a low base salary (not even six figures) and just $ 1.6 million in compensation, which is “the approximate total additional cost for Amazon of security for Mr. Bezos on top of what was provided Security represents in business premises and for business travel. “The company notes that the CEO, who founded Amazon and thus has a stake in the company, never received any stock-based compensation.

* The total annual compensation for Etsy CEO Josh Silverman was $ 1,934,307. Note that he didn’t receive any long-term incentive grants in 2018, 2019, or 2020 as he received a grant in May 2017 that should encourage him to join Etsy and align his interests with those of shareholders . Adjusted for the four-year period his enrollment stock awards were supposed to cover and instead included 25% of the total value of his enrollment stock awards as compensation for 2020, his total annual compensation for 2020 would have been $ 7,067,871 in a ratio of 37: 1.

Note for eBay: Median employees: salary, target bonus and annual target capital bonuses.

eBay had 12,500 employees as of November 6, 2020, around 5,900 in the United States and 6,600 in other countries. When calculating median employee compensation, eBay excluded 549 employees in 17 countries as allowed under a de minimis exemption, based on approximately 12,000 employees.

Note for Amazon: Median Paid Employees: Salary, Bonus and Grant Date of the Fair Value of RSUs granted as of October 1, 2020 for all permanent and temporary full and part-time employees worldwide. In addition, compensation for employees who have not worked is calculated on an annual basis throughout the year, except for employees who are classified as seasonal or temporary.

Note that Amazon also stated that the average employee compensation for all of Amazon’s U.S. full-time employees was $ 37,930.

Note to Etsy: Median Employees: Base Compensation, Employee Awards, and the value of the stock awards granted to all full-time, part-time, and temporary workers as of December 31, 2020.

It would be even more fascinating if there was a way to show the average sales of the seller.

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