« America To Congress: Get Involved in Workplace Safety! | Main | Carnival of the UnCapitalists »

April 11, 2005

CEO Pay Still Out of Control

You'd think post-Enron and post-WorldCom, corporate American would be toning down the excessive pay for its CEOs, but sadly the executive payoffs continues to gush at an obscene rate, as the newest update of the AFL-CIO Executive Paywatch shows.

While there has been some retreat from the insane paper wealth handed out during the dotcom days, average CEO pay is still insane compared to the pay of the average worker; CEOs today average an income of 300 times what the average hourly worker makes:

What's remarkable is how recent a phenomena is this elevated income of CEOs. Inequality is hardly new in America, but for most of the 20th century, the average income of the superrich was relatively constant, the richest 1% of the population averaging between $300,000 to $400,000 per year in income. As the chart below shows (source here), it was only in the 1980s that there was a significant departure from that pattern. The income of the superrich has exploded even as the income of the rest of the population has largely stagnated over the last few decades.

Posted by Nathan at April 11, 2005 12:36 PM