October 26, 2006

A GAP TOO BIG TO JUMP



Caption: This man can't make it on his wages. He's about to knock of a convenience store. He's not the very best of men.

The figures may vary depending on how you count it, but sources agree that the gap between worker and CEO pay is growing. According to David Henry, writing in Business Week:

Average annual CEO pay is $10.5 million, 369 times average worker pay of $28,310. In 1970, before the big runup, the multiple was 28:1, a ration that would make today's average worker pay $374,800. Put another way: If CEO pay were frozen now, it would take workers 66 years of 4% annual raises to get back to 1/28th of what the boss makes.



Now that's some pretty impressive social math. The numbers are based on rounded off figures from S&P 500 companies and from the U.S. Bureau of Labor Statistics and are just another sign--if one is needed--of how out of kilter this country has become.

GOAT ROPE ADVISORY LEVEL: RISING

1 comment:

Anonymous said...

That was laugh out loud funny! I would have needed a couple of drinks to come up with that one. good stuff. cheers, ted