As the United Auto Workers union faces a historic strike against Detroit’s Big Three automakers on Friday, the main demand is pay. Ford employees, General MotorsAnd Stellar (formerly Fiat Chrysler) want a 40% raise to make up for years of inflation. And to show that the companies can afford to give more to their employees, the union is showing the automakers’ exceptional generosity to a select few of their employees: their CEOs.
Some are afraid Influence What a prolonged strike could do to the economy, Business Roundtable says, “is this.”He was very concernedUAE President Sean Fain points out that the big losers are the big three.
“is not [that] We will destroy the economy. We will destroy their economy, one that only works for the billionaire class, not the working class,” Fine said. They spoke CNN this week.
The UAW also shot down Ford CEO Jim Farley’s attempt to paint the workers’ demands as unrealistic. Inconveniently after Fali Compared to Union pay requests for school teachers and firefighters; Using suspicious imagesThe UAW called out the hypocrisy of Farley’s own pay package, pointing out that a single automobile can make “four, five, six times” a teacher’s salary.
“This guy made $21 million last year,” the UAW said in a statement Post. With the average Ford employee making less than $75,000 in 2022 SEC filingsFarley took home the wages of 281 Ford workers.
Put another way, an hourly Ford worker, Farley, would have to work seven working lives to earn the same amount of money he takes home in one year between his base salary, bonuses, stock options and fringe benefits.
The difference between Farley and his employees is not unique—the difference between the CEOs of General Motors and Stellar and their employees is even greater. The sky-high pay reflects a widening gap between leaders and the rank-and-file, fueling suspicions that CEOs are out of touch with their employees.
A growing gap
Employee-boss gap at General Motors is stark: GM CEO Mary Barra 361 times The average worker earned $80,000, bringing in $29 million in wages last year. At the same time, the CEO of Stellenbosch, Carlos Tavares, made his salary 365 Workers earned $25 million (or €23.4 million), while the typical worker earned $68,000.
Ford and GM did not respond ChanceRequest for feedback. Stellantis declined to comment.
As inflation and interest rates rise, while workers struggle with higher costs of living but their salaries stay the same, CEO salaries continue to rise steadily – just because of how their companies are doing. In the year In 2021, the stock market’s performance led to a 17 percent increase in CEO pay over the same year; Research from executive compensation firm Equalar—but when shares fell in 2022, CEO pay continued to rise, albeit a small portion.
Just look at Tavares. They see it more than double from $12 million in 2020 to $23 million in 2022. And earlier this year, the charity you’ve been planting named Ford CEO Jim Farley as one. His 100 Most Overrated CEOsHe ruled that more than $8 million of his $21 million pay package was “excessive.”
Inflation in the past three years has been especially painful for automobiles. In 2008, two of the Big Three agreed to waive automatic cost-of-living increases and should have been arrested by the federal government after filing for bankruptcy. Since then, employees have had inflation-adjusted earnings. 19% fellAccording to the Economic Policy Institute, leftist thinking.
“While the big three CEOs have seen pay rises of 40% over the past four years, our salaries have only increased by 6%.” he said. At the news conference.
Fein, and the rank and file, are betting that the big three can go even further. EPI predicts that they will bring in more than 32 billion dollars in additional profits in this second half year.
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