Female Chief Financial Officers, CFOs, began earning more than their male counterparts in 2014 according to a new study by executive compensation firm Equilar. The study notes that though women are badly outnumbered in S&P companies in high-ranking positions, that hasn’t stopped the women who make it to the top from pulling in more cash than their male peers. In fact, analysis of the 2014 year shows the female CFOs in S&P 500 companies earned more than males in the same position. Women’s pay increased 11 percent as the men’s pay packages increased by a more modest 7 percent. As a result, the female CFOs earned an average $3.32 million in compensation while the male CFO average was $3 million. In addition to earning overall higher pay, female CFOs are going even further by using the position to move even further up the ladder to the coveted CEO title.
The AP reports that in 2014 female Chief Financial Officers earned more on average than male CFOs in S&P 500 companies. The report notes that female CEO pay is following the same trend, and in corporate America women are finally seeing a pay structure that is on par, and in some cases even better, than their male peers.
Josh Crist, managing director at executive search firm Crist Kolder Associates, notes that the Chief Financial Officer is no longer just a “bean counter” but rather a gateway to CEO. In fact, Indra Nooyi, CEO of PepsiCo, and Lynn Good, CEO of Duke Energy, are both former CFOs. Goode credits her position as CFO for helping prepare her for her future CEO position and says it is the perfect “training ground” for any CEO.
“It’s a unique position that has the ability to contribute to day-to-day operations but also on long-term strategic planning [and is] a critical training ground [for aspiring CEOs].”
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