Socialist Worker

Pay gulf widens

Issue No. 1707

Pay gulf widens

WORKERS' PAY is running below inflation while company executives' pay soars. Independent pay analyst IRS says that pay settlements in Britain averaged 3 percent in the three months to June. Inflation is running at 3.3 percent. Meanwhile a report on top pay by the Monk Partnership firm shows that a chief executive in a FTSE 100 stock exchange listed company now earns on average �643,000.

  • CHRIS GENT, chief executive of Vodafone, is due to appear at the company's annual general meeting this week to try and justify his astronomical salary.

Gent has just bagged a �10 million bonus on top of his �1.36 million salary and �2 million in shares. He says the money is somehow performance related. Critics say the money is really his slice for the takeover of the German Mannesmann company earlier this year.

A corporate analyst says: "These executives are trying to pull the wool over people's eyes. So they're creating increasingly complex schemes to get themselves paid more and more."


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News
Sat 29 Jul 2000, 00:00 BST
Issue No. 1707
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