After being ousted by the board without cause, the former president and CEO of El Camino Hospital in Mountain View, Calif., will receive nearly $1 million in severance pay, according to a San Jose Mercury News report.
The hospital will pay Ken Graham a lump sum of 18 months’ salary, or $948,960, along with 18 months worth of health benefits when he officially steps down June 30.
Hospital officials have been mum on what caused Mr. Graham’s departure. His contract includes a non-disparagement clause, prohibiting the hospital or Mr. Graham from making any statements about one another that could cause embarrassment or humiliation, according to the report.
Mr. Graham’s contract took effect Sept. 2009. It also included language that the hospital could terminate his employment “other than for cause” at any time, according to the report. It was set to expire in Aug. 2013.
Read the San Jose Mercury News report on Ken Graham.
Read more about severance pay:
-5 Common Hospital Executive Compensation Practices
-Boston's Beth Israel Officials Mum on Paul Levy's Severance Pay
-5 Trends Affecting Hospital CEO Compensation in 2011
The hospital will pay Ken Graham a lump sum of 18 months’ salary, or $948,960, along with 18 months worth of health benefits when he officially steps down June 30.
Hospital officials have been mum on what caused Mr. Graham’s departure. His contract includes a non-disparagement clause, prohibiting the hospital or Mr. Graham from making any statements about one another that could cause embarrassment or humiliation, according to the report.
Mr. Graham’s contract took effect Sept. 2009. It also included language that the hospital could terminate his employment “other than for cause” at any time, according to the report. It was set to expire in Aug. 2013.
Read the San Jose Mercury News report on Ken Graham.
Read more about severance pay:
-5 Common Hospital Executive Compensation Practices
-Boston's Beth Israel Officials Mum on Paul Levy's Severance Pay
-5 Trends Affecting Hospital CEO Compensation in 2011