Press Release

CEOs Paid 331 Times Average Worker, 774 Times Minimum Wage Worker

2014 Executive PayWatch exposes high paid CEOs in the low wage economy

www.PayWatch.org

(Washington, April 15, 2014) – While Congress has left for recess failing to fully address economic issues from the minimum wage to unemployment insurance and equal pay, AFL-CIO President Richard Trumka unveiled the 2014 Executive PayWatch today. According to its data, U.S. CEOs – the highest paid in the world – pocketed, on average, $11.7 million in 2013 compared to the average worker who earned $35,293. That means CEOs were paid 331 times that of the average worker.

Many of the CEOs highlighted in PayWatch head companies, like Walmart, that are notorious for paying low wages. In 2013, CEOs made 774 times more than those who work for minimum wage. And while many of these companies argue that they can’t afford to raise wages, the nation’s largest companies are earning higher profits per employee than they did five years ago. In 2013, the S&P 500 Index companies earned $41,249 in profits per employee, a 38% increase.

This year, PayWatch highlights five low wage companies through worker testimonials at Walmart, Kellogg’s, Reynolds, Darden Restaurants and T-Mobile.

“These companies are run by short-sighted business leaders, because people who earn minimum wage, for instance, can’t afford cell phones from T-Mobile or dinner at Red Lobster or the Olive Garden, both of which are owned by Darden Restaurants,” said AFL-CIO President Richard Trumka. “America’s CEOs—as exemplified by the individuals of these companies—are cannibalizing their own consumer base. It’s wrong. It’s unfair, and it’s bad economics.”

PayWatch is the most comprehensive searchable online database tracking the excessive pay of CEOs of the nation’s largest companies. It offers visitors to the website the unique ability to compare their own pay to the pay of top executives.

“CEO Executive PayWatch calls attention to the insane level of compensation for CEOs, while the workers who create those corporate profits struggle for enough money to take care of the basics,” said Trumka. “This database is relevant to every community in the country. And we’ll use this data to organize and mobilize to lift millions of workers out of poverty and to strengthen the middle class.”

Contact: Josh Goldstein (202) 637-5018