Fast Take
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Common CEO pay in India has reached $2 million.
Whereas wage inequality decreased globally, it stays excessive in low-income nations.
Gender pay hole has narrowed barely to 22% from 27% between 2022 and 2023.
New Delhi:
Noting that the common pay for CEOs in India has reached $2 million a yr, a brand new examine by analysis and advocacy group Oxfam stated the common pay for world CEOs surged by 50 per cent in actual phrases since 2019, towards a 0.9 per cent hike in common employee’s wages.
Each hour, billionaires pocket extra wealth than the common employee earns in a whole yr, the evaluation stated, underlining that the common gender pay hole in 11,366 companies worldwide narrowed barely from 27 per cent to 22 per cent between 2022 and 2023 — but their common feminine worker nonetheless successfully works at no cost on Fridays, whereas their common male worker is paid by means of the week.
“This can be a 50 per cent real-term enhance from $2.9 million in 2019 (adjusted for inflation) — an increase that far outpaces the actual wage development of the common employee, who noticed a 0.9 per cent enhance over the identical five-year interval in nations the place CEO pay knowledge is offered,” the evaluation stated.
Eire and Germany have a number of the highest-paid CEOs, incomes a median of $6.7 million and $4.7 million a yr in 2024, respectively.
The evaluation stated the common CEO’s pay in South Africa was USD 1.6 million in 2024, whereas in India, it reached $2 million.
“12 months after yr, we see the identical grotesque spectacle: CEO pay explodes whereas staff’ wages barely budge. This is not a glitch within the system — it is the system working precisely as designed, funnelling wealth ever upwards whereas hundreds of thousands of working individuals battle to afford lease, meals and healthcare,” Oxfam Worldwide govt director Amitabh Behar stated.
The boosts to world CEO pay come as warnings develop that wages are failing to maintain tempo with the price of residing, the evaluation stated.
Whereas the Worldwide Labour Group (ILO) reported actual wages grew by 2.7 per cent in 2024, many staff have seen their wages stagnate.
In France, South Africa and Spain, for instance, actual wage development was simply 0.6 per cent final yr. Whereas wage inequality decreased globally, it stays very excessive, significantly in low-income nations, the place the share of revenue of the richest 10 per cent is 3.4 instances greater than the poorest 40 per cent.
The evaluation stated the billionaires — who typically absolutely, or partially, personal massive companies — pocketed on a median USD 206 billion in new wealth during the last yr, which is equal to $23,500 an hour, greater than the worldwide common revenue in 2023 ($21,000).
Past the runaway CEO pay, the worldwide working class is now dealing with a brand new risk: sweeping US tariffs.
These insurance policies pose important dangers for staff worldwide, together with job losses and rising prices for fundamental items that will stoke excessive inequality all over the place.
“For thus many staff worldwide, US President Donald Trump’s reckless use of tariffs means a push from one merciless order to a different: from the frying pan of harmful neoliberal commerce coverage to the fireplace of weaponised tariffs. These insurance policies is not going to solely damage working households within the US, however particularly hurt staff attempting to flee poverty in a number of the world’s poorest nations,” Behar stated.
More and more, companies are being required by the legislation to report their gender pay gaps — the common distinction in earnings between ladies and men.
Oxfam’s evaluation of the S&P Capital IQ database discovered that amongst 11,366 companies throughout 82 nations that reported gender pay hole knowledge, the common hole narrowed barely from 27 per cent to 22 per cent between 2022 and 2023.
But, on common, ladies in these companies nonetheless successfully work with out pay on Fridays, whereas their male counterparts are paid for the complete week, the examine stated.
(Apart from the headline, this story has not been edited by NDTV workers and is revealed from a syndicated feed.)