When to Take a Pay Cut

Never, unless you are the head of a company asking others to do so.

Apple CEO Tim Cook who without a doubt makes a ton of money, just asked to have his salary slashed by $35 million – that’s not nothing.

Did I mentioned he asked for the pay cut?

In radio, for example not one CEO has asked for a pay cut even though they routinely conduct layoffs and firings in essence losing the goodwill of the remaining employees.

One CEO, Emmis Communications’ Jeff Smulyan did during extremely hard times and his employees love him for it.

The leader makes the most money so the ones who are willing to make the biggest sacrifice wins the enthusiastic cooperation of those working below them.