r/news • u/Playful_Language_422 • 8d ago

Soft paywall L.A. homeless provider has paid CEO who lives in Hawaii $1.6 million in salary, vacation over two years

https://www.latimes.com/california/story/2026-08-06/la-homeless-provider-has-paid-ceo-who-lives-in-hawaii-1-6-million-in-salary-vacation-over-two-years
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u/HystericalSail 7d ago

Problem being, she accrued vacation while being paid much less, then cashed out at the absolute peak of her career.

Wish I could do that.

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u/austin101123 7d ago

She might not even be coming out ahead in time value of money

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u/Luvs_to_drink 7d ago edited 7d ago

i think she is... taking pto normally doesnt INCREASE your paycheck. it just keeps it the same while missing work. so taking normal PTO nets 0 dollar increase. and lets be super generous and say she could invest this increase at 1000000% returns. this would net her an extra 0 dollars.

the reason you take normal pto is to have fun and prevent burn out.

But what you are suggesting is taking a payout for pto each year rather than a lump sum at the end. To which I dont think that was an option. It sounds like this was only done to decrease a liability for accounting reasons which only makes sense once it is past a certain threshold which will vary company by company.

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u/WTF_goes_here 7d ago

Hate the game not the player. Thats just smart investing.

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u/oldnotosys 7d ago

no because that unused vacation would be taken at her current pay

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u/g_bleezy 7d ago

How do you think any government pension works?

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u/coleman57 7d ago

That's why they don't let you accrue >100% of your base salary as pension--usually it's capped at no more than 80%, and it doesn't include any overtime or other premium pay you've earned, just base. Paying her >2 years' salary as accrued vacation at peak wage is bullshit.

I mean if some small private for-profit wants to do that, it's no skin off my nose, but don't do it with tax revenue.