The USAA has made a name for itself by offering lucrative paydays to its top executives, often to the tune of tens of thousands of dollars.
Now the company wants to make sure those paydays are worth the effort.
The company will introduce a new pay plan starting on March 1 that allows its top executive paychecks to exceed the salary of those with similar experience, as long as the pay offer includes a maximum number of months of service.
The move comes as the company faces pressure to improve its compensation package, which is largely based on salary and perks.
USAA announced last year it would pay its top employees more than $40 million annually over a 10-year period.
The pay package is expected to be more than twice that, at more than a quarter of a million dollars.USAA Chief Financial Officer Jim Tabor said in a statement that the company is moving to better align compensation with experience, and is taking steps to reduce the amount of compensation that some employees are receiving for the same work.
The new plan will give USAA’s top executives a maximum of three months of additional service, and a maximum total of four months of extra service, he said.
“The USAA Pay Plan is about ensuring that our top executives receive the best possible compensation for the work they do,” Tabor wrote.
“To achieve this, we are introducing a new compensation plan, which will provide USAA executives with additional flexibility in terms of the number of years of service they can receive.”USAA plans to introduce a $15,000 pay plan in the coming months.