Directors 'earn 120 times more than average employee'

[Martin@AS Financial]

Interesting read:

"Chief executives at some of Britain’s biggest companies earned 120 times more than a full-time employee – when shares as well as cash were included – compared with 47 times more in 2000, according to Incomes Data Services, a research group that extracted the data from companies’ annual reports."


http://www.ft.com/cms/s/0/30ff6900-5...#axzz3G18sW611

[MarillionFan]

Only 10 times for me :-(

[original PM]

Is the CEO worth 120 times that of an 'average' employee?

I always struggle with this type of info and wonder if it has any relevance or bearing on anything.

The idea behind these headlines is that we should thrown our hands up in horror at the inequality of it all

But in reality a large company may have 1,000's of average employees so when the argument that the CEO' shares/bonuses should be spread around to the staff makes no sense because it means everyone will get like a fiver...

The real frustration is that so many of these high earners seems to lurch from 1 position to another, do nothing and come out £500k to £1 M better off.

While the rewards are high for success then the penalties for failure should be equally harsh.

[vetran]

Is the CEO worth 120 times that of an 'average' employee?

I always struggle with this type of info and wonder if it has any relevance or bearing on anything.

The idea behind these headlines is that we should thrown our hands up in horror at the inequality of it all

But in reality a large company may have 1,000's of average employees so when the argument that the CEO' shares/bonuses should be spread around to the staff makes no sense because it means everyone will get like a fiver...

The real frustration is that so many of these high earners seems to lurch from 1 position to another, do nothing and come out £500k to £1 M better off.

While the rewards are high for success then the penalties for failure should be equally harsh.

there is a reason some people float to the top - they won't flush.

I was all for sending some of the Bank directors to prison, they must of known they were trading while insolvent.

[Project Monkey]

Is the CEO worth 120 times that of an 'average' employee?

I always struggle with this type of info and wonder if it has any relevance or bearing on anything.

The idea behind these headlines is that we should thrown our hands up in horror at the inequality of it all

But in reality a large company may have 1,000's of average employees so when the argument that the CEO' shares/bonuses should be spread around to the staff makes no sense because it means everyone will get like a fiver...

The real frustration is that so many of these high earners seems to lurch from 1 position to another, do nothing and come out £500k to £1 M better off.

While the rewards are high for success then the penalties for failure should be equally harsh.

As we all know, it's got nothing to do with worth.

[Bunk]

The real frustration is that so many of these high earners seems to lurch from 1 position to another, do nothing and come out £500k to £1 M better off.

Not only do they seem able to find another position after screwing up, they usually get a huge golden handshake when they get sacked.

[Bunk]

Only 10 times for me :-(

You pay your employees £3,000 a year? That's disgraceful!

[LisaContractorUmbrella]

I had a Twitter discussion with a Socialist type the other day - his first argument was that workers should share in the profitability of the company as they had contributed to its success - he then went on to decry bankers' bonuses so apparently the ideal is for everyone to benefit from success but not so much that people will get envious

[VectraMan]

The real frustration is that so many of these high earners seems to lurch from 1 position to another, do nothing and come out £500k to £1 M better off.

While the rewards are high for success then the penalties for failure should be equally harsh.

Which is why it's bizarre there's so much public antagonism towards bonuses. Performance related bonuses are a good thing: it means they have to perform to get the money. We should be angry about high salaries.

How much do top footballers earn? I'd bet it's at least 120 times more than the average director. And for that matter, I can play Stairway to Heaven on guitar so how come Jimmy Page has more money than me?

[Zero Liability]

I had a Twitter discussion with a Socialist type the other day - his first argument was that workers should share in the profitability of the company as they had contributed to its success - he then went on to decry bankers' bonuses so apparently the ideal is for everyone to benefit from success but not so much that people will get envious

Yes, and of course never the losses, even assuming the defunct theory of value he is evoking were correct.

Is the CEO worth 120 times that of an 'average' employee?

I always struggle with this type of info and wonder if it has any relevance or bearing on anything.

The idea behind these headlines is that we should thrown our hands up in horror at the inequality of it all

Indeed. I tend to just shrug them off these days. They're in the same class of sensationalism as Jordan's latest breakup, and rarely reveal anything resembling an understanding of economics.