T-Mobile CEO Among Top Paid Execs After Price Hike Confirmation
Today, T-Mobile confirmed a price increase on some older plans, marking the first time in nearly a decade. The company cited rising inflation and costs as the reason for this adjustment. In a landscape where prices are on the rise across the board, it may be tempting to view T-Mobile’s decision as necessary. However, a key distinction sets T-Mobile apart from its competitors AT&T and Verizon – its CEO is among the top twenty highest-paid executives in the US.
According to The Wall Street Journal, T-Mobile’s CEO Mike Sievert ranked 16th on the list with a total pay of $37.49 million in 2023. While executive compensation is typically viewed as an internal matter, it becomes harder to ignore when considering recent unpopular decisions made by T-Mobile. This includes staff layoffs, potential implications for higher prices for all US consumers, and obstacles for customers seeking older, more affordable plans.
In a breakdown by Axios, Sievert’s total pay included $8.1 million in cash compensation, which stands at 521 times more than the company’s median salary of $72,000. While Sievert is credited with T-Mobile’s success as one of the top 5G providers, concerns arise over how these achievements are balanced against employee welfare.
For employees within T-Mobile, there is a perception that tough decisions come at their expense while customer-facing roles bear the brunt of customer dissatisfaction following price increases. Increased staffing in stores suggests an acknowledgment of potential backlash from customers and emphasizes retention efforts amidst pricing changes.
