28 November 2016
Executive pay has continued to surge upwards despite the nation’s economic struggles, with CEOs now earning nearly 74 times more than the average workers’ salary.
This is according to new analysis by Labour Research Magazine, which found that of the 513 executives they looked into, 31 were awarded pay rises of more than 100% what they received last year and three saw their wages jump by at least 1,000%, with the highest at 2,415%.
Overall, the rate of increase in executive pay was 1.4%, slowing from last year’s 8.1% rise, but still racking up a £1.51 billion bill in total, with the median remuneration package reaching an astonishing £2.08 million.
The average worker receives £28,213 and has seen a pay rise of between 1.4% and 2.3% since September 2015, according to figures from the Office for National Statistics.
The Labour Research Magazine said: “The mammoth packages make a mockery of prime minister Theresa May’s recent decision to row back on her promise of worker representation on company boards.”
Indeed, the Institute of Employment Rights argues that worker representation is needed within all levels of the economy from company boards to the reinstatement of a Ministry of Labour with a Cabinet seat. For more on our 25 recommendations for policy reform, read about our Manifesto for Labour Law, now adopted by the Labour Party.