CEOs pocket 386 times average pay

Written By: Ian Hernon
Published: April 7, 2017 Last modified: April 14, 2017

The Equality Trust has estimated that chief executives of the UK’s top 100 companies now pocket an average of £5.3 million each year, or 386 times that of a worker earning the National Living Wage.

More than two-thirds (67%) of FTSE 100 chief executives are paid more than 100 times the average UK salary. And nine out of 10 (90%) of FTSE 100 chief executives are paid at least 100 times more than the National Living Wage, the Trust said.

The Trust analysis also found that FTSE 100 chief executives are now paid?165 times more than a nurse, 140 times more than a teacher,132 times more than a police officer, and 312 times more than a care worker.

Recent research shows that a combination of rising inflation and pay restraint means that average real pay is now falling in the public sector, and is expected to continue falling over the next three years. Forecasts suggest that average real pay in the public sector will fall back below 2004-05 levels by the end of the present parliament in 2020.

Dr Wanda Wyporska, executive director of The Equality Trust, said: “The people who educate our children, look after our grandparents, and keep our families safe have seen their pay frozen, while fat cat CEOs continue to gorge themselves on obscene and undeserved rewards. They’re also stretching far away from their own employees.”

The trust said being a top company chief executive in the UK is “like being a lottery winner – every year – guaranteed”.

About Ian Hernon

Ian Hernon is Deputy Editor of Tribune