Needed: Outcome Based Compensation

from full contact Philanthropy:

Executive Payback

Few topics in the social sector are as ludicrous as the allegedly excessive compensation of non-profit executives. Not only is it a comical thought that anyone truly wanting to enrich themselves would go into the poverty business, it is painfully beside the point.

The debate over nonprofit executive compensation has little to do with increasing social impact. Rather, such arguments underscore the antiquated view still held by some that charity is about personal sacrifice rather than public benefit. Moreover, the controversy surrounding appropriate levels of executive compensation cannot be satisfactorily resolved until we establish metrics that allow us to meaningfully measure executive output against the only standard that matters, social outcomes.