On Good Friday we published an article concerning the unbelievable amount of profit shown in the three largest timeshare companies last trading year as measured by gross profit. Today we are still talking telephone numbers when we delve into the salary packages of some of the CEOs in the American timeshare industry.
TCA would be the first to admit high power high stress jobs need sensible levels of remuneration, a fair days pay for a fair days work, but when we reveal some of the numbers we think you will be quite shocked.
It comes as no real surprise that Michael Brown, CEO of Travel + Leisure Co, topped the list of compensation among the top bosses of timeshare operators. His company came second amongst its peer group in revenue and net income last year.
Mr Brown made $8.4 million in total compensation for the year of 2023. That was the highest take home pay among Timeshare Company CEOs, according to proxy statements filed last week in the USA.
Travel and Leisure Co. is the world’s largest timeshare operator, with brands like Wyndham Destinations and Margaritaville Vacation Club and RCI in its portfolio. Last year, it generated $396 million in net income, the highest of its peer group.
Next we move over to Hilton. Mark Wang, CEO of Hilton Grand Vacations, received around $6.7 million in take home pay in 2023, the second highest amount. The company produced $313 million in net income.
Finally, Marriott, John Geller Jr, CEO of Marriott Vacations, collected around $1.1 million in take home pay in 2023. The company generated the third-largest net income: $253 million
Just for clarification, the figures above don’t actually relate purely to salary, stock options and dividends together with production bonuses and other sundry contributors go towards the bottom line. Also, as for take home pay is concerned, no doubt the IRS will want their fair share, so these figures are probably gross, that said we are still talking significant numbers of real take home Dollars.
TCA Comment
We dare say that if we dug deep enough we could ascertain the remuneration for all senior execs at these companies, but for now we will just stay with the head honchos. You probably know by now that at TCA we love playing with numbers, so time for another game.
According to the American Resort Development Association, the average maintenance fee in 2023 was $1,200. In order to create the remuneration paid to Mr Brown, 7,000 timeshare owners need to pay their $1,200, and you thought all along that your maintenance fee paid for resort maintenance.
As we said earlier, a fair days pay for a fair days work, now, excluding holidays both public and allocated, there are 260 working days in a year. If we take Mr Brown’s remuneration and divide it by said 260, it means he earns $32,000 per working day. We will leave it to you to decide if that represents a fair days pay for a fair days work.
For more information regarding this article or assistance in any other timeshare related issues please contact the TCA on 01908 881058 or email: info@TimeshareConsumerAssociation.org.uk