There are definitely Individual Contributors who are on the same compensation level as directors. These are the engineers who revolutionize how the company operates, such as inventing HHVM and saving tons of resources.
There are going to be a couple director level IC's and several hundreds of directors. Those IC's have to make industry changing tech worth hundreds of millions of dollars. Those directors just have to show up to work and be 'in charge' of whatever those IC's are doing. That's how the scam works.