CEOs Are Making 335 Times More Than Their Workers: Report

The following article by Mary Thompson with CNBC appeared on the NBC News website on May 18, 2016:

CEOs-Paid-335-Times-Average-Rank-and-File-Worker-Outsourcing-Results-in-Even-Higher-Inequality_blog_post_fullWidthThe average pay for an S&P 500 CEO was $12.4 million in 2015, or 335 times the pay of a rank-and-file worker, according to a new report from the AFL-CIO.

That gap is actually narrower than the one posted in 2014, when CEOs earned $13.5 million, or 373 times the pay of the average worker.

The 2015 AFL-CIO Executive PayWatch compares average compensation of S&P 500 CEOs with the average pay of nonsupervisory workers as reported by the Bureau of Labor Statistics. Nonsupervisory workers earned $36,875 in 2015.

The survey also compared CEO pay to that of union workers. Here the gap between CEO and average worker pay was less at just more than 242 times, while the typical CEO earned more than 819 times what a worker earning minimum wage would take home in a year. Continue reading “CEOs Are Making 335 Times More Than Their Workers: Report”