The TrumpTax Record: CEO Pay Skyrockets As Wages Stagnate For Working Families
FOR IMMEDIATE RELEASE:
Friday, August 17, 2018
WASHINGTON, D.C. — According to a new report from the Economic Policy Institute, America’s largest companies saw their average CEO compensation surge to $18.9 million last year, an 18 percent increase over the previous year. After Donald Trump and congressional Republicans championed a tax law that they claimed would increase wages for working families, CEO pay is rapidly ballooning while worker wages remain flat.
The Republican tax law continues to serve as a boon for wealthy individuals and corporations at the expense of working families. Since the law passed, we have seen billions of dollars in excess profits for big corporations and record stock buybacks for shareholders, while working Americans’ wages stagnate or decline, despite Republican promises that wages would increase by $4,000 on average.
See coverage below:
Washington Post: “Top executives of America’s biggest companies saw their average annual pay surge to $18.9 million in 2017, according to a report released Thursday, fueling concerns about the gulf between the nation’s richest and everyone else. The dramatic 18 percent jump in chief executive pay came as wages for American workers remained essentially flat, pushing the gap between executive compensation and employee pay to its highest point in about a decade.”
Business Insider: “The compensation for CEOs at the US’s biggest public companies continued to surge in 2017, according to a new report, but the workers in those same industries are seeing meager gains.”
New York Times: Editorial—You Know Who the Tax Cuts Helped? Rich People
New York Times: “The most notable outcome of the tax law is one that few Republicans talked about: Companies are buying back their own stock — a lot of it. Stock buybacks are expected to reach a record $1 trillion this year. After Congress reduced the top federal corporate tax rate from 35 percent to 21 percent, businesses are flush with cash.”
Washington Post: In U.S., wage growth is being wiped out entirely by inflation
Washington Post: “Thus far, however, most benefits of the strong economy appear to have gone to high-paid workers, stock market investors and corporations. The stock market hit record highs this year. Corporations, benefiting from a historic Republican cut to the corporate tax rate passed in December, have seen profits soar.”