CEOs Get Paid Too Much, Says Everyone

Quote:

In their recent research, scheduled to be published in a forthcoming issue of Perspectives on Psychological Science, Chulalongkorn University’s Sorapop Kiatpongsan and Harvard Business School’s Michael Norton investigate “what size gaps people desire” and whether those gaps are at all consistent among people from different countries and backgrounds. It turns out that most people, regardless of nationality or set of beliefs, share similar sentiments about how much CEOs should be paid — and, for the most part, these estimates are markedly lower than the amounts company leaders actually earn. [...] For the countries combined, the ideal pay ratio for CEOs to unskilled workers was 4.6 to 1; the estimated ratio was about double, at 10 to 1. But there were some differences country to country. People in Denmark, for example, estimated the ratio to be 3.7 to 1, with an ideal ratio being 2 to 1. In South Korea, the estimated gap was much larger at 41.7 to 1. The ideal gap in Taiwan was particularly high, at 20 to 1.

http://ift.tt/1C1uhPd



Are your ideals in line with that? What about your estimates?



Should anything be done about CEO pay? Why? Why not?