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CEOs at 100 lowest-paying US firms earned 614x worker pay

Created at 27 Aug · 11:06 AM1 source↑ Market-relevant
IN SHORT

CEOs at the 100 S&P 500 companies with the lowest worker pay earned an average of 614 times more than their median employees last year, according to an Institute for Policy Studies report. CEO compensation increased 41.4% between 2019 and 2025, outpacing worker pay and inflation.

Key Numbers

614CEO to worker pay ratio at lowest-paying firms
41.4%CEO compensation increase (2019-2025)
20.7%Median worker pay increase (2019-2025)
25.9%Inflation increase (2019-2025)
8.4%CEO to worker pay ratio increase (2019-2025)
$17.5mAverage CEO compensation (2025)
$36,571Median worker pay (2025)
$108.6bnStock buybacks in 2025
$29.2mWalmart CEO compensation (2025)
958Walmart CEO to worker pay ratio (2025)
$30,520Walmart median worker pay (2025)

Who's Involved

Institute for Policy Studies (IPS)
Author of the executive excess report
Sarah Anderson
Lead author of the report and director at IPS
Walton family members
Billionaires linked to Walmart
Jeff Bezos
Billionaire linked to Amazon
Mackenzie Scott
Billionaire linked to Amazon
Ernie Garcia II
Carvana co-founder
Ernie Garcia III
Carvana co-founder
Doug McMillan
Former Walmart CEO

↳ Why This Matters

The significant disparity in compensation between CEOs and workers at major U.S. corporations highlights issues of economic inequality, corporate priorities, and the potential impact of corporate lobbying on labor and immigration policies. The findings raise questions about fair compensation practices and the role of stock buybacks in corporate finance.

Key facts

  • CEOs at the 100 lowest-paying S&P 500 corporations earned an average of 614 times more than their median workers in 2025.
  • CEO compensation at these firms rose 41.4% from 2019 to 2025, while median worker pay increased 20.7%.
  • Inflation outpaced worker pay increases, rising 25.9% between 2019 and 2025.
  • The average CEO compensation was $17.5 million, with median worker pay at $36,571.
  • These companies spent $108.6 billion on stock buybacks in 2025.

CEOs at the 100 largest, lowest-paying corporations in the U.S. earned an average of 614 times more than their average worker last year, according to an analysis by the Institute for Policy Studies (IPS). The report found that between 2019 and 2025, CEO compensation increased by 41.4%, more than double the 20.7% increase in median worker pay at these firms. Inflation during the same period rose 25.9%, outpacing worker wage growth. The average CEO compensation among these low-wage corporations was $17.5 million in 2025, compared to a median worker pay of $36,571. The wealth of at least 36 billionaires is linked to these companies, including members of the Walton family, Jeff Bezos, Mackenzie Scott, and the co-founders of Carvana. Sarah Anderson, lead author of the report, described the pay disparity as a significant societal problem, stating that CEOs appear disconnected from the economic realities faced by their employees. The report also highlighted that many of these low-wage companies employ registered federal lobbyists and have not publicly denounced aggressive immigration enforcement actions that could affect their workforce. Anderson noted that while low-wage workers face cuts to essential programs like Medicaid and SNAP, and may be subject to immigration enforcement, corporate leaders continue to prioritize their own enrichment. Stock buybacks among these firms increased to $108.6 billion in 2025. Walmart, for example, spent $8.1 billion on buybacks, and its former CEO, Doug McMillan, received $29.2 million in compensation in 2025, 958 times the median worker pay at the company.

Frequently asked questions

The average CEO earned 614 times more than their median worker at the 100 lowest-paying S&P 500 corporations in 2025.

Between 2019 and 2025, CEO compensation increased by 41.4%, while median worker pay rose by 20.7% at these firms.

The 100 lowest-paying firms spent $108.6 billion on stock buybacks in 2025, a practice that critics argue diverts funds from worker compensation and investment.

Companies like Walmart, Amazon, and Carvana are mentioned due to their low median worker pay and significant CEO compensation, with Walmart's former CEO's pay ratio being particularly noted.

What Happens Next

01The report suggests policy solutions including a tax hike on corporations with high CEO-to-worker pay ratios.
02Increased taxes on stock buybacks are also proposed.
03Leveraging government contracts to bar companies engaging in stock buybacks from receiving them is another suggested policy.
CME Headlines
  • September 2026 Delivery Date Memo - Effective August 24, 2026
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How It Developed

The average CEO compensation at the 100 lowest-paying S&P 500 corporations was $17.5 million in 2025.
Median worker pay at these firms was $36,571 in 2025.
CEO compensation increased 41.4% between 2019 and 2025, while median worker pay rose 20.7%.
Inflation rose 25.9% during the same period.
The CEO-to-worker pay ratio at these firms increased 8.4% between 2019 and 2025.
Stock buybacks by these firms increased to $108.6 billion in 2025 from $105 billion in 2024.
Walmart CEO Doug McMillan received $29.2 million in compensation in 2025, 958 times more than the median worker pay at Walmart.

Sources

T1
CEOs earn 614 times more than workers at US’s 100 lowest-paying corporationsThe Guardian

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