Executive Pay – Has the Penny Finally Dropped?

Responding to today’s publication of FTSE 100 CEO pay by the High Pay Centre, Dr. Wanda Wyporska, Executive Director of The Equality Trust, said:

“It seems the penny has finally dropped, and companies are at last beginning to row back on the absurd levels of pay given to CEOs.  This is positive, but we now need to see concerted efforts to raise wages at the other end, and to reduce the obvious gap in pay between male and female bosses.

“As consumers and shareholders have seen the astronomical pay offered to some bosses, it appears they don’t believe they should be paid millions more than nurses, teachers and their own employees. Especially when so many are struggling to put a roof over their head and food on the table. 

“However, there is a danger that once the spotlight moves, executive pay will once again start to outclimb that of ordinary workers. That’s why we’re calling on the Government to take forward plans for the compulsory publication of pay ratios between CEOs and their median paid employee. Only then can we get a true picture of the scale of pay inequality within companies, and start to bear down on unfair pay.”

The Equality Trust is a registered charity that works to improve the quality of life in the UK by reducing economic inequality. UK income inequality is among the highest in the developed world and evidence shows that this results in poorer mental and physical health, higher violent crime, poorer educational outcomes and lower levels of trust. Inequality affects us all. For further comments or to arrange an interview, contact info@equalitytrust.org.uk