Toronto – January 9, 2023 – CEO pay has hit an all-time high, according to a study by the Canadian Centre for Policy Alternatives (CCPA). While inflation has hammered the rest of us, average pay for the best-paid 100 CEOs hit $14.3 million in 2021, smashing the previous record of $11.8 million in 2018. This represents a 31.2 per cent increase from the previous year’s average pay of $10.9 million.
Breakfast of Champions: CEO Pay in 2021 shows that by 9:43 on the morning of January 3, the average member of the 100 highest-paid CEOs in Canada will have made as much money as the average Canadian worker makes in a year: $58,800. In addition, the CEO-to-worker pay gap is larger than ever before, with the richest CEOs making 243 times more than the average worker – an all-time high. The previous high was in 2018.
Inflation is driving record-breaking profits, which are driving CEO pay: never before have corporate profits captured so much of Canada’s economy. As profits hit record highs, CEO bonuses linked to profits also skyrocket.
The report proposes policy solutions for governments to address this rampant income inequality through taxation measures. To read the full report and recommendations, click here.