The CEO’s who run British businesses make an astounding 86 times more in their yearly salary than your average man or woman in the United Kingdom. The charity Equality Trust reported that many leaders of large UK corporations will have made more money last week than most people would in a year.
The median annual pay of FTSE 100 CEO last year was £3.6 million (around £941 per hour of their 12-hour days), according to research by the High Pay Centre. This huge gap between bosses and their staff is fuelling a damaging level of inequality across the country.
Although it was still too early to take the impact of Covid-19 on pay packets into account, it is estimated CEOs would have to work just 33 hours this year to surpass the average UK salary, of £31,461.
High Pay Centre director Luke Hildyard said: “Factors such as the increasing role played by the finance industry in the economy, the outsourcing of low-paid work and the decline of trade union membership have widened the gaps between those at the top and everybody else over recent decades.”
Such enormous pay packets will raise concerns over whether leading companies are distributing pay fairly. Dr Wanda Wyporska, executive director of The Equality Trust, said: “This huge gap between the pay packets of bosses and their employees is not just highly unfair, but contributes to the damagingly high level of inequality we see in the UK.