Since the financial crisis in 2008, the US economy has “bottomed out”, but the wage level of workers has stagnated for ten years, and the pay gap between CEOs and employees has reached 278 times.
Forbes Chinese website reported on the 14th that the US Bureau of Labor Statistics released data showing that after considering inflation, the income of Americans aged 25 to 54 in 2019 increased by only 4% compared with 2009. Except for the “16-19 age group” and “65 years old and older”, the income of workers in other age groups in the United States has almost stagnated in ten years.
Although the US economy recovered in the decade after the financial crisis, the income of American workers was hardly affected by factors such as rising cost of living. The data of the American University Council showed that in 2017, they attended a four-year public university. Students graduate with an average of $26,900 in student loans. And between 2017 and 2018, the monthly supply of mid-priced houses in the United States increased by 12%. According to the report, a large part of the wages that should belong to ordinary workers have flowed into the pockets of high-income earners.
The British “Guardian” reported on the 14th that the survey conducted by the American Economic Research Institute showed that the CEO of the top US companies had an average salary of $17.2 million in 2018, which is 278 times that of ordinary employees. Its salary has increased by more than 1000% compared with 1978, which is much larger than the 11.9% increase in the salary of ordinary employees.
EPI senior researcher Lawrence Mishr said that because there is little evidence that the sharp increase in CEO wages is directly related to company performance, if the manager’s salary is excessively increased, the employee’s salary level will be stagnant. In the long run, the pay gap between CEOs and regular employees of top US companies is gradually increasing. In 1965, the CEO’s salary was 20 times that of ordinary employees. In 1978, it rose to 30 times. In 1991, it increased to 121 times, and in 2018, it reached 278 times.
Under this circumstance, the wealthy group of American businessmen began to express their concerns about the widening income gap. The world’s largest hedge fund, Bridge Water Fund founder and billionaire Ray Dalio warned that the gap between the rich and the poor in the US is becoming a “national emergency”; JPMorgan CEO Jamie Dimon called for a The “Marshall Plan” to address “systemic problems” that lead to “serious imbalances” in society.
EPI researcher Mishel said that the easiest way to solve the problem of excessive income disparity is to significantly increase taxes on high-income groups, but he also said, “But it is very difficult to achieve.”