In recent years, the subject of CEO to worker pay ratios have been a hot subject mostly because the gaps between them tend to widen. The team at Madison Trust Company shows us the status of these ratios at some of the business world’s top companies to illustrate the full spectrum of the issue.
The CEO to worker pay refers to the difference between the CEO’s salary and their average worker’s salary. Many people point to the widening gap as unfair, greedy, or unsustainable.
Many people point to the S&P 500 has a way to create a fair benchmark for CEO pay. As you’ll see on the chart, some companies have modest wage gaps and others have enormous ones. To address the issues, companies, policymakers, and investors have experimented with various ways to limit the CEO salary. Some require mandatory salary disclosure from the CEO, others base their pay on shareholder voting. Tax reforms and increased corporate governance can also impact CEO pay.
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David Wallace is a search & social media marketer who lives in Ahwatukee Arizona with his lovely wife. Interests & hobbies include all things Disney, roller coasters, musicianship and Christianity.
