Skip to main content
Top
Cookie Notification
Cookie Notification

We use cookies to collect information about how our website is used and to improve the visitor experience. You can change your browser’s cookie settings at any time. Please review our privacy policy for more information. OK

  • Careers
  • Salary Surveys
  • Login
  • Blog

Menu

  • Why Pearl Meyer
    • Our Philosophy
    • Our Approach
    • Our Commitment
    • Our Clients
    • Our Role
  • Advisory Services
    • Consulting Services
      • Executive Compensation
      • Director Compensation
      • Employee Compensation
      • Compensation Communication
      • Leadership Development
      • CEO and Executive Succession
      • Compensation Governance
    • Specialized Expertise
      • By Industry
      • High-growth Start-Ups
      • Mergers and Acquisitions
      • Restructuring
    • Salary Surveys
      • Running Your Salary Survey
      • Salary Survey Portfolio
      • By Industry
  • Meet our Team
  • Knowledge Share
  • Contact Us
  • Why Pearl Meyer
    • Our Philosophy
    • Our Approach
    • Our Commitment
    • Our Clients
    • Our Role
  • Advisory Services
    • Consulting Services
      • Executive Compensation
      • Director Compensation
      • Employee Compensation
      • Compensation Communication
      • Leadership Development
      • CEO and Executive Succession
      • Compensation Governance
    • Specialized Expertise
      • By Industry
      • High-growth Start-Ups
      • Mergers and Acquisitions
      • Restructuring
    • Salary Surveys
      • Running Your Salary Survey
      • Salary Survey Portfolio
      • By Industry
  • Meet our Team
  • Knowledge Share
  • Contact Us
  • Careers
  • Salary Surveys
  • Login
  • Blog
You are here
  • Home
  • In the News
  • Learning From CEO Pay Ratio Disclosures

NASPP.com

Learning From CEO Pay Ratio Disclosures

Apr 5, 2018

Perhaps one of the longest talked about topics in equity and executive compensation circles has been the anticipated CEO Pay Ratio disclosure.  So, with over 1,000 companies having filed their pay ratio disclosures to date, what are we learning from the disclosures?

The median pay for employees overall is higher than many compensation experts expected (about 75k, but this varies significantly among industries and company sizes). Leading up to the disclosures, there was concern that if median pay was low and pay ratio high, there would be large scale morale issues once employees came to realize how little their pay is relative to the CEO. With the median pay coming in higher than expected in most cases, does that mean employee morale is no longer a concern?

Actually, as Deb Lifshey of Pearl Meyer points out in her blog “Median Employee Pay Not Quite the Spectacle Anticipated” (March, 2018), “The flip side of what appears to be a relatively high average median employee pay figure is the fact that half of a company’s population will now perceive themselves as being paid less than their peers. If they believe they are paid less than median, it may impact productivity and job satisfaction and even lead to retention issues. The problem is compounded this year if these workers understand that corporate tax cuts led to a windfall for their employer, which may not have been shared among employees.”

Stay Connected: twitter linkedin youtube
  • About
  • Contact Us
  • News & Events

Copyright © 2023 Pearl Meyer & Partners, LLC. All rights reserved. Terms of Use  Privacy Policy