Pay Inequality Persists in FTSE  

CEO-to-employee pay gaps at Britain’s biggest companies remained stable over 2022, according to new research by the High Pay Centre, funded by the abrdn Financial Fairness Trust. The median CEO/median employee pay ratio across the FTSE 350 was 57:1 in 2022, slightly up from 56:1 in 2021. The median gap between CEOs and their lowest-paid quarter of employees fell slightly in 2022 to 75:1 from 78:1 in 2021. Across the larger FTSE 100 companies, the gaps were wider, with a median CEO/median employee pay ratio of 80:1 and a median CEO/lower quarter employee of 118:1. High Pay Centre research has found that 76% of people think top earners should not be paid more than 20 times their low and middle earning colleagues, while just 3% thought that it was right for CEOs to make more than low and middle earners. The report recommends that companies should provide more detailed information on how many jobs they provide at different pay levels, and that outsourced workers, who often carry out very low-paid work, should be included in the pay ratio calculations It also recommends that companies should be required to communicate information on CEO-to-worker pay gaps directly to their workforce, as well as publishing the figures in their annual report. 

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