Average boss in UK will on Thursday earn typical worker's yearly salary
Just three working days into 2018, pay for the average FTSE 100 chief executive will pass the median worker salary of 28,758 pounds ($38,855), the report by the Chartered Institute of Personnel and Development (CIPD) and pressure group the High Pay Centre showed.
And that is despite the mean pay of FTSE 100 CEOs falling by about 17 percent in 2017 to 4.5 million pounds amid pressure from investors, the government and wider society for excessive pay to be reined in.
Even with that pay cut, the ratio of CEO pay to the pay of the average full-time worker is still 120:1, the report on "Fat Cat Thursday" showed, with the best-paid boss - advertising company WPP's Martin Sorrell - on 48.2 million pounds.
"The drop in pay in the last year is welcome, although relatively marginal, and will have largely been driven by the growing public and shareholder concerns and the Prime Minister's stronger focus on boardroom excess and plans to reform corporate governance," CIPD Chief Executive Peter Cheese said.
After a high-profile government review of the UK Corporate Governance Code in 2017, Britain's leading companies will now be forced to disclose the pay ratio between the CEO and average worker. ■