Tag Archives: CEO-to-Worker Compensation

New data by the AFL-CIO Executive Paywatch, available here. Note that union members do much better than nonunion members, and certainly than minimum wage workers. For more context read this EPI report. You must admit that the use of flawed neoclassical thinking is sometimes amusing. In this Bloomberg post, an 'expert' (aka hired gun) from a free market think tank (pro-corporations propaganda machine) says that the "AFL-CIO study [is] 'useless' because it compares two different labor markets...

According to Shue and Townsend most of the growth in CEO compensation has been based on options. Looking at the figure below I would say stocks have also played a role. This is all in a period in which the CEO to worker compensation ratio was already at very high levels by historical standards. And by the way, it is also very high by international standards. And you think a $15/hour wage is too high!