Wednesday, August 21, 2019

Unequal Pay

The average salary for chief executives may have fallen between 2017 and 2018, but they still earned 117 times more than the average UK full-time worker.

For the first time, the study also looked at pay in the FTSE 250 companies, the 250 largest firms listed on the stock exchange after the FTSE 100 firms. If found that, in contrast to FTSE 100 pay, the salaries of chief executives in this group had stayed relatively steady. Pay averaged £1.58m in 2016 and 2018 with a 2% rise to £1.61m in 2017.

A boss of one of the UK's largest listed 100 companies earns £3.5m a year on average. The average full-time worker in the UK earns £29,574.
CIPD chief executive Peter Cheese said: the gap between pay at the top and bottom of firms remained "unacceptably wide".
"We must question if CEOs are overly focused on financial measures and are being incentivised to keep share prices high rather than focusing on the long-term health of their business," he said.

Frances O'Grady, general secretary of the Trades Union Congress (TUC), said: "It would take most workers two lifetimes to earn what top execs get in a single year. That's not right."
GMB union general secretary Tim Roache said: "It's an absolute scandal the average worker will have to graft for more than a century to earn the same pay a CEO gets in just a year."

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