Valuing Your CEO: Chamber industry needs to compensate accordingly!

Talia Hart, Chief Executive Officer, Healdsburg Chamber of Commerce & Visitors Bureau

Running a Chamber of Commerce is like running any business, and in some cases much more difficult. The compensation of Chamber of Commerce executives and corporate CEOs can be viewed through several lenses, including their roles, responsibilities, skills, and the impact they have on their respective organizations and communities.
Here are some arguments in favor of higher compensation for Chamber of Commerce executives:

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1. Chamber of Commerce executives often handle significant responsibilities similar to those of corporate CEOs, such as:

• Strategic Planning: Developing and implementing strategies to support local businesses, attract new businesses, and promote economic development.
• Advocacy: Representing the interests of local businesses at the municipal, state, and federal levels, influencing policy decisions.  Which btw takes a lot of attention, time and relationship building with Elected Officials.
• Community Leadership: Acting as a liaison between businesses, government, and the community to foster a positive business environment.
• Resource Management: Managing (nonprofit) budgets, staff, and resources effectively to ensure the Chamber's sustainability and growth.

 
2. Impact on the Local Economy: Chamber of Commerce executives can have a substantial impact on the local economy through...

• Business Support: Providing essential services to help local businesses grow and thrive, which in turn supports job creation and economic stability.
• Economic Development: Leading initiatives to attract new businesses and investments to the community, thereby enhancing economic opportunities and keeping the economic ecosystem healthy. Many of us are running Economic Development for our City.
• Networking Opportunities: Facilitating connections between businesses, which can lead to new partnerships, collaborations, and business growth.

 
3. We’re not just “volunteers” with no education.  The majority of Chamber CEO’s have a college degree, Masters or multiple educational accreditations like ACE or CCE. Running a Chamber of Commerce requires a high level of skill and expertise in areas such including:

• Economic Development: Understanding market trends, economic indicators, and business needs.
• Public Relations: Communicating effectively with diverse stakeholders, including business leaders, government officials, and the media, as well as collaborating with other organizations and the community.
• Financial Acumen: Managing the Chamber’s finances (building and managing budgets), fundraising efforts such as selling signature sponsorships, and ensuring financial stability.

 4. Comparative Compensation
While corporate CEOs are often highly compensated due to the scale of their companies and the direct financial outcomes they drive, Chamber of Commerce executives also generate significant value, although in different ways. The argument for higher compensation for Chamber executives includes:

• Equality with Public Sector Leaders: Similar to how public sector leaders (e.g., city managers, economic development directors) are compensated for their impact on the community, Chamber executives should be similarly valued.
• Attracting Talent:  Competitive compensation is essential to attract and retain top talent who can effectively lead and innovate within the Chamber which represents your community’s business community.  This also reminds me that we do most of our own HR and are responsible to hire and fire. Many corporate companies have a team or recruiter for hiring needs. This task requires diligence to find the best talent possible.
• Representing Companies with a high net worth: We are expected to lead and influence the very people we represent.  That can only be done with the feeling of equality.  Many of these companies are Fortune 500 and very successful. They need to see us as an equal partner.

 
5. Challenges and Accountability
Chamber executives often face unique challenges such as:

• Balancing Interests: Navigating the interests of various stakeholders, including small businesses, large corporations, and government entities. We’re often looked at as one size fits all.
• Economic Fluctuations: Responding to economic downturns such as Covid, shifts in market conditions such as high interest rates, and other external factors that affect local businesses.
• Transparency and Accountability:  Ensuring transparency and accountability in operations and decision-making processes, since the members and public are always watching our every move.

 
While there are clear differences between the roles of corporate CEOs and Chamber of Commerce executives, the argument for higher compensation for Chamber executives is grounded in the significant responsibilities they hold, the impact they have on the local economy, and the need to attract and retain skilled leaders. By recognizing and appropriately compensating Chamber executives, communities can ensure that their local economies are well-supported and positioned for growth.
I’m more than happy to facilitate your future retreat and/or Board planning session.  I am also available to speak to your Executive teams on shifting your culture to run more like a business.  Earning what you deserve in any environment is key to your growth and value as an employee and leader. 

Talia Hart
Chief Executive Officer, Healdsburg Chamber of Commerce & Visitors Bureau
[email protected]
www.healdsburg.com