The 21st century has worked wonders on the wallets of Chief Executive Officers. For the top 350 largest firms in the United States, CEOs have received a hefty payday compared to both their employees and to CEOs of the past.
The metric the Economic Policy Institute used to analyze this pay ratio included realized stock options along with salaries, bonuses, restricted stock grants, and long-term incentive payouts to calculate the total take-home pay for CEOs. Even top earning employees at these companies still, on average, make 5 times less than their executives, while wage growth has remained flat for the average worker.
The significant pay raise for the heads of these major companies came at the end of the 20th century when, between 1978 and 2000, the compensation for CEOs widened by over 1,200 percent.
This chart shows the CEO-to-worker pay ratio for the top 350 companies from 1965-2017.
The Statista "Chart of the Day", made available
under the Creative Commons License CC BY-ND 3.0, may be used
and displayed without charge by all commercial and
non-commercial websites. Use is, however, only permitted with
proper attribution to Statista. When publishing one of these graphics,
please include a backlink to the respective infographic URL.
The Statista "Chart of the Day" currently focuses
on two sectors: "Media and Technology", updated
daily and featuring the latest statistics from the media,
internet, telecommunications and consumer electronics
industries; and "Economy and Society", which
current data from the United States and around the
world relating to economic and political issues as well as
sports and entertainment.
For individual content and infographics in your Corporate Design,
please visit our agency website
Any more questions?
Get in touch with us quickly and easily. We are happy to help!