Women's representation remains significantly lower compared to their male counterparts despite being able to secure top positions in S&P 500 companies.
AP's Yearly Compensation Survey
Of the 341 CEOs featured in the AP's yearly compensation survey, 25 are women, marking the highest number recorded since the inception in 2011. The figures have seen limited change, with the second-highest count being 21 women in 2017.
The survey, conducted by Equilar and analyzed for The Associated Press, encompasses CEOs of S&P 500 companies who have completed at least two fiscal years with their respective companies and filed proxy statements between January 1 and April 30, 2024.
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According to Christy Glass, a sociology professor at Utah State University focusing on equity, inclusion, and leadership, the increase in female CEOs is positive yet discouraging as there would be periods of increased female CEOs, followed by significant turnover in subsequent years.
AP's Highest-Paying Women
Lisa Su, CEO and chair of chipmaker Advanced Micro Devices, retained her title as the highest-paid female CEO in the AP survey for the fifth consecutive year in fiscal 2023. Su's total compensation was thirty million three hundred thousand dollars compared to the previous year, and her rank improved from 25 to 21 overall.
Su's compensation package included a base salary of $1.2 million and a performance bonus exceeding $1.4 million. The majority of her package comprised $21.8 million in stock awards.
Since 2014, Su has served as the chief of AMD, headquartered in Santa Clara, California, a company capitalizing on increased demand for new AI tools, which can analyze data, aid decision-making, and potentially automate certain tasks traditionally performed by humans, whose stock price soared by 127% in 2023.
Mary Barra of automaker General Motors is also on the list of top-paid female CEOs, earning $27.8 million in total compensation, along with Jane Fraser of banking giant Citigroup, with a package valued at $25.5 million; Kathy Warden of aerospace and defense company Northrop Grumman Corp., earning $23.5 million; and Carol Tome of package deliverer UPS Inc., whose compensation totaled $23.4 million.
Some prominent female CEOs, including Julie Sweet of consultant Accenture and Sue Nabi, CEO of Coty Inc., are not featured in the survey due to their recent appointments or because their companies file proxy statements outside of the January through April timeframe.
The Median Pay Package of Women Vs. Men
The median pay package for female CEOs increased by 21% to $17.6 million, surpassing the 12% rise in median pay for male CEOs to $16.3 million. However, the highest-paid men still earn significantly more than the highest-paid women. For example, Broadcom CEO Hock Tan received $161.8 million, mostly from stock awards.
Glass noted the existence of the "glass cliff" as part of the issue contributing to the disproportionate representation of men to women. Her research indicates that women are often appointed CEOs at companies facing challenges or disadvantages.
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