Today, the United Food and Commercial Workers International Union website (www.UFCW.org) reported details from the 2014 Executive PayWatch report. The AFL-CIO produces the annual report. The results focus on the income gap between corporate CEOs and their average workers.
For instance, the report states the average minimum wage earner at Walmart would need to work 1,372 hours just to earn what Michael T. Duke, Walmart’s CEO, earns in a single hour. The report also compares salaries of CEOs to minimum earning wage earners for Darden, T-Mobile and Kellogg.
In 2013, Lawrence Ellison, CEO of Oracle came in as the highest paid CEO at $78,440, 657. Meanwhile, Daniel Amos of AFLAC earned the least at $18,582,055. Although companies claim they cannot afford to pay their employees higher wages, the PayWatch report says otherwise. PayWatch states that 2013 S&P Fortune 500 companies averaged $41,249 in profits per employee.
The Huffington Post reported that David Novak, CEO of YUM! Brands, which own KFC and Taco Bell earned $22 million last year. He earned more than 1,000 times what his average taco maker and chicken fryer earned. The Post referred to a report published by the DEMOS titled "Fast Food Failure: How the CEO-to Worker Pay Disparity Undermines the Industry and the Overall Economy."
According to the DEMOS report, the gap between fast food CEOs and their employees is so great, you could drive a truck through it. Many fast food employees have taken their frustrations out by staging walkouts, complaining to the media and attempting to form unions.
The DEMOS report says the average 2013 fast food worker earned $9.09 per hour or roughly under $20K yearly, while the average fast food CEO earned nearly $24 million yearly. The DEMOS report calculated income statistics for the average wage earner through the Bureau of Labor Statistics and CEO salaries through Standard & Poor’s ExecuComp database.