The Real News Network
GREG WILPERT: Welcome to The Real New Network. I’m Greg Wilpert in Baltimore.
The compensation of CEOs at US corporations has grown by nearly a factor of ten since 1978. This is according to a study recently released by the Economic Policy Institute, which finds that average CEO compensation reached $14 million in 2018. In comparison, average workers’ wages grew by only 12% since 1978. The acceleration in the gap between CEO and worker compensation becomes even more visible when you look at the ratio between the two. In 1965, the average CEO to average worker pay was 16 to 1. By 1989, it had reached 45 to 1. However, 20 years later by 2018, it reached 278 to 1.
Joining me now to discuss the EPI report on CEO compensation is one of its co-authors, Julia Wolfe. Thanks for joining us, Julia.