Government to Pay Contractor Executives More
April 24, 2012
The government is raising the cap on what it pays contractors' top five executives to $723,029, a 10 percent increase, federal procurement officials announced Monday.
The cap, up from $693,951, applies to contract costs for compensation — including wages, salary, bonuses and deferred compensation — incurred after Jan. 1, 2011, according to a notice published in the Federal Register. It applies only to a contractor's top five executives; other contractor employees can earn more.
The cap is based on a federal executive compensation formula that pleases neither the administration nor federal employee unions.