FATCAT BOSS IS ON 1,200 TIMES WORKERS’ PAY
THE fatcats running Britain’s top firms rake in “unjustifiable” salaries that are hundreds of times more than their workers.
A typical chief executive of a FTSE 100 company was paid 129 times what an employee earned last year, a report found.
One chief exec, Arnold Donald of P&O Cruises owner Carnival, received a pay-and-perks package of £22.3million, which was 1,264 times more than his average employee, on £18,000.
The figures come as sources say Business Secretary Greg Clark will reveal plans next week to make nearly 1,000 listed firms publish the ratio as part of a crackdown on fatcat pay.
However, the Government has been accused of watering down other plans to tackle boardroom excesses. And even though this latest ratio is down from 148 in 2015, director of the High Pay Centre Stefan Stern said: “Some of the gaps in pay are extraordinary, startling and unjustifiable.”
The study by the Chartered Institute of Personnel and Development and the High Pay Centre revealed the huge gulf in pay at some firms.
The average FTSE 100 CEO was handed a package worth £4.5million last year, of which their salary was £876,000. Second behind Mr Donald is Sir Martin Sorrell, head of ad giant WPP, whose £48.1million bonanza was 1,134 times more than its £42,000 employee average. The top 10 also includes Lord Wolfson, boss of fashion giant Next, whose £4.7million was 382 times more than its staffers on £12,000. Tesco CEO Dave Lewis earned £4.6million, taking home 345 times more than its employees on £13,000. TUC general secretary Frances O’Grady said: “While bosses rake in millions, most workers’ pay has flatlined since the crash. “If the Government was serious about reining in executive pay, they would be putting workers on company boards.” A Carnival official said: “Since Arnold took the role in 2013, the company has seen consistent growth.”