I don't think its true that the AVERAGE CEO earns hundreds of times what the average worker earns. . According to Salary.com, the median salary for a CEO is about $700,000 per year. Perhaps you mean the average fortune 500 CEO or something along that line.
I am not sure what a good CEO is worth, but since I worked for Wachovia, I saw what a bad one can do. Wachovia had a bad one, and he destroyed the company, cost thousands of jobs, not to mention hundreds of millions in lost stock value for people who had held wachovia stock for a long time. I wish that Wachovia would have paid a Jamie Dimon or a John Stumpf a huge salary so that the company would still exist and a lot of my friends would not have lost their jobs.
Here you are injecting facts again. What, you want to screw up the rants?
First off, sorry about Wachovia. I am truly sad for all the workers that lost their jobs due to the greed and incompetence at the highest levels of that organization. I really hated to see that happen. If it had been a NY Bank, I am pretty sure the outcome would have been more favorable.
Good point, these numbers do apply more so to the Fortune 500. However, (I am trying to be a little more selective in my wording here, than I was in my rant) executive compensation encompasses, as I’m sure you know, much more than a simple salary.
Source: Economic Policy Institute. 2011
Executive pay (also executive compensation), is financial compensation received by an officer of a firm. It is typically a mixture of salary, bonuses, shares of and/or call options on the company stock, benefits, and perquisites, ideally configured to take into account government regulations, tax law, the desires of the organization and the executive, and rewards for performance. Over the past three decades, executive pay has risen dramatically relative to that of an average worker's wage in the United States
Here is a liink to the rest of the disscusion about executive pay: