Equality Trust says rampant inequality is damaging UK society

By agency reporter
January 5, 2019

Analysis from The Equality Trust shows that the six women CEOs in the FTSE 100 earned on average (mean) £3,163,300 per year while their male counterparts earned £5,861,510. This translates to women CEOs earning just over half (54 per cent) of their male counterparts.

A FTSE 100 CEO now earns an average (median) annual pay of £3.926 million per year. Top bosses' pay surpassed the annual salary of an average worker (£29, 574) on Friday 4 January 2019. It would take an average worker 133 years to earn a CEO’s average pay.

FTSE 100 CEO average annual pay is:

  • 321 times more than a minimum wage worker
  • 217 times more than a care worker
  • 133 times more than an average worker
  • 121 times more than a nurse
  • 103 times more than a teacher
  • 95 times more than a police officer.

These figures have all increased since last year.

According to a recent report by Green Park there are currently five BAME CEOs of FTSE 100 companies, and 48 FTSE 100 companies had no ethnic minority presence on their boards in 2018.

The Equality Trust is analysing the FTSE 100 in terms of CEO pay ratios, gender pay gap, Living Wage accreditation, worker engagement and other indicators of inequality. A publicly available dashboard and report will be available in March 2019, ranking the companies sector-by-sector.

Dr Wanda Wyporska, Executive Director of The Equality Trust, said: “Even women who have reached the highest echelons face a gender pay gap and are paid less than men. The cosy club mentality of top companies continues, dominated largely by white males.

"Working people find that they cannot earn enough to feed their families without being forced to visit food banks. Many are experiencing very real hardship as the flawed system of Universal Credit is rolled out. Meanwhile, it is a national scandal that FTSE CEO Fat Cats have creamed off even more pay this year. The average FTSE 100 CEO is taking home their annual salary before the first working week of the year is even finished.

“We can all see that this rampant inequality is damaging UK society. A society that values its teachers, care workers and nurses at less than one per cent of a FTSE CEO is beyond broken. Countries with high levels of inequality, such as the UK, have higher levels of mental and physical ill health, obesity, drug and alcohol addiction and lower levels of trust and educational attainment. To create a society where all flourish, we must tackle inequality urgently.”

* Read the report from Green Park here

* Equality Trust https://www.equalitytrust.org.uk/

[Ekk/6]

Although the views expressed in this article do not necessarily represent the views of Ekklesia, the article may reflect Ekklesia's values. If you use Ekklesia's news briefings please consider making a donation to sponsor Ekklesia's work here.