This is all according to WSJ Article:
- Meanwhile pay for “rank and file” employees rose 3.1%.
- Half the company's CEOs are paid 186x median work pay
Most irritating, is the response that “The pay ratio is a blunt instrument that offers little meaningful insight.”
Critical thinking question: Recognizing the necessity and value of a quality leader that appropriately balances all stakeholder needs (customer, employee, company, community, etc), what would be a reasonable ratio given the aveage US salary of roughly $50K / year?
- 186 x $50K / year = $9.3M
- 20 x $50K/Year = $1.0M
- 5 x $50K / Year = $250K