Despite an era of economic uncertainty and widespread job cuts, media CEO compensation saw significant pay increases in 2024. According to early data, median CEO compensation at major U.S. firms climbed 7.5% to $16.8 million, with companies that raised pay reporting a median jump of 13.2%. In the media sector, those numbers were often eclipsed by even higher payouts. Netflix co-CEOs Ted Sarandos and Greg Peters earned about $60 million each, while Disney’s Bob Iger brought in $41 million, up 30% from the previous year.
Warner Bros. Discovery (WBD) CEO David Zaslav received a $52 million compensation package just weeks before the company’s debt was downgraded to junk status by S&P. The firm has seen its stock price fall over 60% since its 2022 merger. Critics argue that such media CEO compensation persist regardless of corporate performance, thanks to compensation boards that often prioritize loyalty over shareholder value. The practice, sometimes likened to the “Lake Wobegon effect,” ensures CEOs are paid as if they’re always above average even when business metrics falter.
Shareholders and Advocates Push Back on Disproportionate Compensation
The rise in media CEO compensation stands in sharp contrast to broader economic realities. Wages in the private sector rose by just 3.6% in 2024, less when adjusted for inflation, widening the gap between executives and the average worker. As shareholder influence grows through “say-on-pay” votes, pushback has intensified, particularly against companies like WBD. Proxy advisory firm Institutional Shareholder Services (ISS) recently advised shareholders to vote “no” on WBD’s executive compensation plan, criticizing the board for “limited responsiveness” to investor concerns and discretionary equity awards that ignored underperformance.
Zaslav’s pay structure has drawn scrutiny for years. WBD’s board repeatedly adjusted financial metrics to shield his bonuses from negative impacts, such as legal costs and sports rights losses—tactics described by critics as “moving the goalposts.” While some argue that CEOs deserve rewards for navigating complex challenges, others, like Rosanna Landis-Weaver of As You Sow, question whether such allowances fairly reflect accountability. “CEOs get made whole, while workers do not,” said Sarah Anderson of the Institute for Policy Studies, highlighting growing discontent over corporate inequality.
Industry Turmoil and Economic Volatility Cloud 2025 Outlook
As media CEO compensation for 2024 becomes public, the figures clash with the media industry’s broader struggles, job losses, declining linear TV revenues, and volatile ad markets. The sector has been rocked by the fallout from COVID-19, Hollywood labor strikes, and massive shifts in viewer behavior. At the same time, inflation, trade tensions, and political uncertainty, such as tariff threats from President Trump, have created a shaky economic backdrop.
Experts say the timing of executive pay decisions, often based on stock performance from the prior year, further disconnects compensation from current realities. Equilar’s Amit Batish notes that equity grants, typically the largest portion of CEO pay, are awarded based on long-term targets but still reflect the board’s intent to reward generously. As markets fluctuate, stakeholders are beginning to question whether this system promotes genuine accountability. “CEOs should accept down years,” Anderson remarked. “They sign up to do a job. There may be some tough times.” Whether media CEO compensation practices shift in 2025 remains to be seen, but investor pressure is clearly mounting.
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