Widening Inequality: Record Executive Payouts Alongside Layoffs and Stagnant Wages

Shareholders and CEOs are taking home record profits and paying while workers get laid off. Over $1 trillion in net profits went to shareholders while CEO pay rose 31% from 2018-2022.

Revenue and profits at Fortune 500 companies grew significantly from 2014-2022, spiking further after the pandemic, yet layoffs continue. Meta announced over 10K layoffs while authorizing $90B in stock buybacks.

Stock buybacks hit a record $681B in 2022, consolidating power to shareholders. Rules have been rigged through lobbying to prioritize shareholders over workers.

The wage gap between workers and executives continues widening. CEOs were paid a combined $4.1B in 2022 while wages remain stagnant for workers. McDonald's CEO makes 1,745 times more than workers.

Greater inequality is bad for the economy long-term, even for the wealthy. Company policies that widen the divide between executives and workers are legal but detrimental.