CEO vs. Staff Salaries
The growing wealth gap in America is only being accentuated by the increasing number of people unemployed because of this pandemic. However, something that is becoming abundantly clearer because of these times is how much more CEOs are making than the workers that we call “essential” being paid minimum wage.
In 2019 business.org did a study to see how many hours a worker in a popular job at Fortune’s most admired companies would have to work to make 1 hour of the CEOs pay. The data was gathered, according to crowdsourced information on Payscale.com for employee salary, and 2018 proxy statements to the SEC roughly translated to a typical workweek to find the CEO’s pay.
Walmart cashiers, who have been on the front lines providing necessary work, would have to work 1101 hours to make what Douglas McMillon, CEO of Walmart, makes in 1 hour. If cashiers work full time for half a year, that is equal to 1 hour of McMillon’s time. Similarly, at Target, cashiers have to work 828 hours to make the same as 1 hour of work by Brian C Cornell.
This study is evidence that corporate America is contributing to a wealth gap in America. Is it fair that these essential workers are vastly underpaid compared to the CEOs? Should shareholders step in? After all, these CEO’s massive salaries are money out of shareholder pockets.