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What does average CEO make?
In 2020, a CEO at one of the top 350 firms in the U.S. was paid $24.2 million on average (using a “realized” measure of CEO pay that counts stock awards when vested and stock options when cashed in rather than when granted).
How do you compensate a CEO?
Compensation for CEOs is no more variable than compensation for hourly and salaried employees. On average, CEOs receive about 50\% of their base pay in the form of bonuses. Yet these “bonuses” don’t generate big fluctuations in CEO compensation.
How much do CEOs earn compared to average workers?
The average pay ratio of CEO to median worker was 204-to-1, the report found. At the top of the list, four CEOs earn more than 1,000 times the salary of their median worker. The biggest gap was at media company Discovery Communications, where CEO David Zaslav earned $156.1 million last year, nearly 1,951 times the firm’s median salary of $80,000.
Is CEO compensation increasing or decreasing?
CEO compensation continues to be dramatically higher than it was in the decades before the turn of the millennium. CEO compensation was 940.3\% higher in 2018 than in 1978 using the options-exercised measure and 1,007.5\% higher using the options-granted measure.
What is the ratio of CEO compensation to typical worker compensation?
CEO compensation is very high relative to typical worker compensation (by a ratio of 278-to-1 or 221-to-1). In contrast, the CEO-to-typical-worker compensation ratio (options realized) was 20-to-1 in 1965 and 58-to-1 in 1989.
How much has CEO compensation grown in the recovery?
CEO compensation has grown 52.6\% in the recovery since 2009 using the options-exercised measure and 29.4\% using the options-granted measure. In contrast, the typical workers in these large firms saw their annual compensation grow by just 5.3\% over the recovery and actually fall by 0.2\% between 2017 and 2018.