July 22, 2019
CEOs Got Pay Hikes Twice That of Workforce
– Broc Romanek
This article from CBS News notes the discrepancy between the overall CEO rate of pay inflation and the pay rate of ‘typical’ worker. I imagine this type of media attention will become more prevalent as word gets out – so at some point, companies may need to address this widening gap in their proxy disclosures. Here’s the bullets that introduce the article:
– The total median pay package for chief executives at S&P 500 companies rose to $12 million last year.
– The number — which includes salary, stock, bonuses and other compensation — is 7% higher than in it was in 2017, for an average pay hike of $800,000 for large-company CEOs.
– The median pay increase for the typical worker at an S&P 500 company grew just 3% last year, or less than half the rate that the top boss enjoyed.
– It would take 158 years for the typical worker at most big companies to make what their CEO did in 2018.