Transcript for The Big Number: Is a 20-Year Tenure Too Long?
Move in Tuesday April 15 tax day the markets are in New York City are open and today's big number twenty. It's in the news afterward that General Electric CEO Jeff Immelt may step down before is expected. Twenty. Company had hello everyone I'm Michelle Franzen here in New York. For more on the possible impact I want to bring in Jeff MacKey from Yahoo! finance first of all Jeff we should state that this is not official yet right. -- just roam our little chatter in a bid team get a bunch of traders together and they disliked it gossip and so that's what -- But it just got just gossip -- -- -- in the Wall Street Journal. I would guess they're not -- -- a story like this and it's not gonna get this kind of circulation unless there's something to which. So I think innovative. Kind of the -- playbook says. The General Electric is allowing this to sort of lead to get a market ready it's -- a bit of a trial balloon or some idea what's behind. How this conversation got started. -- the -- they're selling it is that General Electric is rethinking the idea of having a CEO. -- a twenty year tenure as a matter of course now. That's really not the industry standard for all RCR stays in the first place eight point one years is actually how long the average SP 500 CR stays in place. I'm not so sure that twenty years made much sense. In the case of General Electric or anyone else and has the company that has almost 300 billion revenues a year. They've got it their businesses are diversified from finance on one side two helicopters on the gather heating -- -- they had dates they just got rid of a broadcast market and it's a lot of moving parts there is trying to -- -- -- biggest GE too much for one CEO one person. Now that he adds a nice job he gets paid okay -- -- about its. It's too much if you want someone to be micromanaging it not a -- that proceeded to administer and -- a legend Jack Welch. -- was notorious for managing to somehow beat analyst expectations by a penny for something like twenty consecutive years. Suffice to say there are rumors gossip chatter on Wall Street the perhaps mr. Immelt had to clean up the company on accounting standard. The shares have suffered as a result GE shares have not appreciate it very much over the course. A mister Reynolds tenure he was handed things -- for the 2000. One we had a recession we have obviously the world -- are few wars so it's been -- -- tough tenure as these things go. But he's been there for a long time and Jeff Reynolds certainly entitled to retirement if he chooses to take it. And it certainly what we might see a plane out at GE mentioned that the average -- is about eight years -- the spark a change in the CEO culture in America given. The pressure the new pressures that they -- these days and pleasing shareholders. Well -- it. -- that's the problem with the idea of twenty years to begin with is that did -- the CEO in theory. Serve at the behest of the corporate board and so the board really shouldn't be working -- calendar here the idea of having this arbitrary number twenty years seems to have run -- 19121. They should be serving in the role of CEO as long as they're doing what's right by their shareholders. GE stock has not performed tremendously well and so it makes sense for him to be under pressure although. I gotta tell you -- -- is fairly far down on the list of CEOs who should be under the gone but that's a whole different conversation. Now according to Reuters -- now holds 1960000. Shares of G east Dokic closed yesterday just to give you an idea 25 dollars changed. You mention that that is taken hit over the years but that well -- right he's worth more than fifty million dollars maybe that's really are big numbers today. Yeah I use it whatever reaches chooses to step down he's got a basement full of gold like Scrooge like doctor you can just kind of -- did you do -- -- in -- fourfold. What every wants to do we also pulls in the last couple years -- 120 million a year. Nice work if you can get so back to our question of is the top job to big. I could I could study up on aircraft and Jim powers as well as -- vacuum cleaners frozen out whatever else they do for back on a pay -- a -- -- in my schedule. Very good and we're back at that number money again twenty me just mention full circle step back for -- -- thanks for joining us. You of course can keep up with the latest headlines right here on abcnews.com. You've been watching the big number I'm Michelle -- in New York.
This transcript has been automatically generated and may not be 100% accurate.