August 11, 2017
Pay Ratio: 271-1 Average Ratio in 2016
– Broc Romanek
Here’s an excerpt from this new study from the “Economic Policy Institute” about relative pay levels:
By this measure, in 2016 CEOs in America’s largest firms made an average of $15.6 million in compensation, or 271 times the annual average pay of the typical worker. While the 2016 CEO-to-worker compensation ratio of 271-to-1 is down from 299-to-1 in 2014 and 286-to-1 in 2015, it is still light years beyond the 20-to-1 ratio in 1965 and the 59-to-1 ratio in 1989. The average CEO in a large firm now earns 5.33 times the annual earnings of the average very-high-wage earner (earner in the top 0.1 percent).
For those registered for the upcoming “Pay Ratio & Proxy Disclosure Conference,” tune in next Tuesday, August 15th for the second in a series of three monthly webcasts that serve as a pre-conference: “Pay Ratio Workshop: What You (Really) Need to Do Now.” The first webcast was on July 20th (transcript & audio archive available); the third webcast is September 27th.
The speakers for next Tuesday’s webcast are:
– Mark Borges, Principal, Compensia
– Keith Higgins, Partner, Ropes & Gray LLP
– Scott Spector, Partner, Fenwick & West LLP
Register Now: This is the only comprehensive conference devoted to pay ratio. Here’s the registration information for the “Pay Ratio & Proxy Disclosure Conference” to be held October 17-18th in Washington DC and via Live Nationwide Video Webcast. Here are the agendas – 20 panels over two days. Register today.