Study: Nonprofit organization leaders saw pay increase in 2011
September 18, 2012
The Chronicle of Philanthropy recently released a report that showed an uptick in nonprofit leaders' salaries in 2011. Findings revealed CEOs of public organizations saw a 3.8 percent rise in earnings, with the median pay averaging at $429,512.
"It's a competitive marketplace, and the chief executive is in the board's direct line of sight," said Brian Vogel, a compensation consultant. "If the board is going to give an increase to anyone, they're going to give it to the CEO."
CEOs at museums and hospitals are some of the biggest earners, the report revealed. Herbert Pardes, the executive vice chairman of New York's Presbyterian Hospital Board of trustees brought in $4.3 million in 2010, The Chronicle of Philanthropy revealed. Houston's Museum of Fine Arts CEO Peter Marzio, who recently passed away, earned $3.94 million in 2010, while Partners HealthCare System chief executive Gary Gottlieb received $3.06 million. The number of nonprofit leaders who are earning more than $1 million annually increased from 15 to 20 during that year as well.
Organizations that want to demonstrate their finances to various stakeholders can use a nonprofit accounting
software to generate reports.