Reprinted from The Daily Kos by Laura Clawson on July 22, 2017.
The Economic Policy Institute is out with its annual look at CEO pay, and by two measures, the pay of CEOs at the nation’s 350 largest companies is nauseating: 271 times what the typical worker made. Though that ratio is down from its peak, consider that in 1989, the ratio was 59 to one. That means we’re talking about a shift that happened during the lives of Millennials.
- Using the stock-options-realized measure, the average CEO compensation for CEOs in the 350 largest U.S. firms was $15.6 million in 2016. Compensation in 2016 (data available through May) is down 4.3 percent (from $16.3 million) since 2015 but up 45.6 percent (from $10.7 million) since the recovery began in 2009. The fall in average compensation reflected a loss for the highest-paid CEOs while those in the bottom 80 percent earned more in 2016 than in 2015.
- Using the stock-options-granted measure, the average CEO compensation for CEOs in the 350 largest U.S. firms was $13.0 million in 2016, up 3.8 percent from $12.5 million in 2015. …