European CEO pay ratios highest in UK, France and Germany
Study reveals the UK has the biggest pay ratios for chief executives, closely followed by France and Germany.
Image: Shutterstock
Pay ratios of CEOs in the UK are higher than in any other European country, a study has revealed.
The research, from Vlerick Business School's Executive Remuneration Research Centre, reveals that UK chief executives earned 94 times the income of their average employee, compared with 91 in France and 89 in Germany.
As big as those ratios are, the survey also showed that the ratio is 71 in the Netherlands and only 40 among Sweden's largest companies.
The study concluded: "Generally, we can state that the pay ratio in the UK is significantly higher than in continental Europe."
The study looked at pay from 2014 to 2016 across Europe.
For thoughtful journalism, expert insights on corporate governance and an extensive library of reports, guides and tools to help boards and directors navigate the complexities of their roles, subscribe to Board Agenda
Related Stories
-
Benchmarking promotes ‘arms race’ in boardroom pay
Remuneration committees should use broad-based data rather than rely on benchmarking reports to determine executive pay levels, says L&G.
-
Government to push ahead with new audit and governance watchdog
The government has launched a consultation on creating a new governance and audit watchdog with more powers, to replace the Financial Reporting Council (FRC).
-
Data security poses growing ethics risk
Research finds an increasing number of ethical lapses reported in the tech industry, while banking and finance continues to be the biggest area for wrongdoing.
