Isn't this the company that just cut agents PDP commissions? UnitedHealth urges shareholders to back CEO’s $60M pay package

[Duaine]

UnitedHealth Group is asking shareholders to support a $60 million stock option award for its new CEO.

In a May 20 letter to shareholders, Christopher Zaetta, UnitedHealth's chief legal officer, urged shareholders to approve the company's executive compensation. Institutional Shareholder Services, a proxy advisory firm, has advised shareholders to vote no on UnitedHealth's "say-on-pay" proposal.

The company appointed Stephen Hemsley, who led the company from 2006 to 2017, as CEO in May. Mr. Hemsley will receive a $1 million annual salary, but will not receive any annual cash incentives. Instead, he will receive a $60 million stock option after three years as CEO.

In its May 20 filing, Mr. Zaetta said the structure is necessary to incentivize Mr. Hemsley to remain CEO for a three-year term.

"The Compensation Committee carefully designed a compensation package that was reasonable, provided the appropriate incentives for Mr. Hemsley, and strongly aligned with shareholder interest," Mr. Zaetta wrote.

 

[annon123]

"The Compensation Committee carefully designed a compensation package that was reasonable, provided the appropriate incentives for Mr. Hemsley, and strongly aligned with shareholder interest," Mr. Zaetta wrote.

And is likely not aligned with patient interest.

 

[medicare_bid]

Well, when you start shooting healthcare CEOs they demand hazard pay. Unintended consequences.

 

[scagnt83]

No single person provides $60m of value to a company.

They do it, because they can.

They answer to the oligarchs who are majority shareholders. Not to the customers they serve.... which at this point are the american taxpayers.