There is a bit of debate going on within the leadership team I’m in, on whether or not the people managers should always make more than those reporting to them. One individual looks to be hiring in people with inflated salaries to justify their own pay increase. Thoughts on this? Should leaders always be paid more than their directs?

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If they are on the same job family then probably because they should be able to do the job and do it better. Different family then no. E.g. head accountant leading other accountants, yes. Non- technical PM leading technical resources, no.

No. If you’re bringing in someone with a lot of experience and a critical skill set then it may be ok for that individual to make more than their manager. Also have to look at comp structure. The manager may get stock incentives and additional bonuses/perks but their direct reports may receive more base salary as a % of total comp.

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