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Executive Compensation


Executive compensation analyses are significantly complex and need to be conducted in a systematic, defensible manner. Compensation Resources, Inc. (CRI) has been a leader in all areas of Executive Compensation for over 25 years. We are an independent facilitator, educator and partner and are committed to creating competitive compensation programs that are tailored to our clients’ needs, goals and philosophy. In conducting an executive compensation analysis, our main focus is to recognize the company’s industry, size, and relative performance so that every customized compensation plan is unique and serves a direct correlation with the company’s goals to maximize it’s compensation investment. Effective total compensation packages provide the essential tools necessary to recruit and retain key individuals, while providing those executives with compensation that has long-term growth potential with favorable tax benefits.


Employment Agreements:

Employment agreements are contracts that provide senior executives and key employees with a written understanding of certain compensation, benefits, perquisites and rewards. The terms and conditions of employment are stipulated in the employment agreement as well as the time frame that the agreement covers. Typically, employment agreements contain a clause allowing either party to notify the other party of its intent not to renew the contract beyond the specified contract period. Another common clause is for the contract to automatically renew for an additional 12-month period if such termination notice is not given. This “evergreen” or passive renewal clause protects both parties in the event that an administrative error prevents a proactive signing of a new agreement.

Employment agreements are a strong golden handcuff tool for the organization as they retain the employee for a specific period of time. Likewise, the executive is relieved of being subject to discretionary or ad hoc employment decisions that may affect him during the agreement’s term. Also, the employee is further protected in instances of management replacements or organizational changes in control. CRI has drafted numerous employment agreements for individuals and/or companies that provide the necessary compensation arrangements for competitiveness.

Equity Compensation Plans:

Equity compensation is noncash, long-term incentive compensation that represents ownership interest in a company. The two most common forms of equity compensation are stock options and restricted stock. Companies use equity compensation to reward their executives in order to:

  • Align executive and stakeholder interests
  • Attract, motivate and retain talent
  • Promote capital accumulation

Equity compensation encourages executives to develop stakeholder mentality, which, in turn, encourages company-focused decision-making on the part of executives.

Please feel free to call Compensation Resources, Inc. to assist you in creating comprehensive and rewarding executive compensation solutions for your public, private, or non-profit organizations.

Paul R. Dorf, APD
Chairman & Founder
877-934-0505 x111

Mary A. Rizzuti, CCP, PHR, SHRM-CP
Principal, CEO
877-934-0505 x107

Diana D. Neelman, CCP
Principal, EVP
877-934-0505 x105

Harry J. Schum, MBA
Senior Consultant
877-934-0505 x170