How to Renegotiate Your CEO Employment Contract When You Have Achieved Success
Last Thursday, on February 1, 2018, CEOWorld magazine published an article I wrote on “How to Renegotiate Your CEO Employment Contract When You Have Achieved Success.”
This article was designed for CEOs and other C-Suite, VPs or other senior executives who have achieved a level of success and seek a greater share of the benefits his or her leadership has brought to the company, as well as a refresh of the level of incentives as he or she takes the company to the next level.
My article discusses why the Board would agree to sweeten the package for the CEO (or other senior executive), including these reasons:
Fear of losing a successful executive,
Costs of recruiting a replacement,
Disruption to a successful team,
Uncertainty of how a successor would work out,
Loss of momentum as the company goes through a new transition, and
Loss of promise of where the CEO might take the company if allowed to build on his or her success.
The article then suggests key items to seek in negotiations, and offers suggestions on negotiation strategy to improve chances for a successful outcome.
Among the strategies suggested are to plan and develop a back-up to enhance your bargaining position and also for possible use if negotiations don’t succeed, and finally use of an “ace in the hole” to achieve success.
With more than 12.4+ million page views, CEOWORLD magazine is the world’s leading business magazine written strictly for CEOs, CFOs, CIOs, senior management executives, business leaders, and high net worth individuals worldwide.
It is my hope that this article will be helpful to CEOs and other senior executives who have achieved a level of success on the job and deserve and would like to seek a share of the benefits their success has conferred to owners and shareholders and refresh of incentives as they seek to take the company to the next level. If you or any colleague of yours has a need for advice in this area, please do reach out to me, executive employment lawyer, Robert Adelson, Esq. at firstname.lastname@example.org.