Politics Magazine

Worker Wages Vs. CEO Salaries

Posted on the 09 January 2014 by Jobsanger
Worker Wages Vs. CEO Salaries This chart shows one of the biggest problems with corporations in this country. While worker wages have been stagnant (and actually dropping when inflation is taken into account), CEO (and other executive) salaries had grown astronomically. The average pay of a CEO in the U.S. is hundreds of times that of the average worker. And that is far greater than in any other country, even the other developed capitalist countries.
In those countries, rising productivity is shared with workers and everybody benefits. In the United States, the corporate moguls hog all of the rising productivity for themselves. We need to put a cap on CEO salaries -- but not a hard cap. We should make those salaries no more than a certain ratio above worker wages. That way, if company wants to give their CEOs and other top executives a raise, they would have to raise worker wages to justify it -- and everyone would once again share in the rising productivity (and profits).

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