A recent report looking at executive compensation found companies with the most overpaid CEOs had lower returns to shareholders than the S&P average.

The nonprofit shareholder advocacy group As You Sow recently produced its 10th report on the 100 most overpaid CEOs. The report found while the average S&P 500 firm saw annualized returns of 8.5%, companies on the most overpaid list lagged at 7.9 % with the 25 worst seeing only a 6% return.

Rosanna Landis Weaver, director of wage justice and executive pay for As You Sow, said over time, changes in social norms, corporate compensation strategies, the tax code and rules around stock repurchases have contributed to overpaid executives.

"If we look at the period of history when America was a leader in creating solid middle class jobs, but also industry growth, companies plowed back any excess money into the company, into research and development into new initiatives," Weaver pointed out. "What we've had companies saying lately is, 'You know what the best thing I can do with this money is buy my own stock.'"

Since passage of the Dodd Frank bill, shareholders can vote on executive compensation. Weaver pointed out when shareholders vote against excessive CEO pay, corporate boards listen and many have made changes with some reducing executive pay.

In the 1960s, executive pay averaged about 20 times more than their employees. Current data show the number now averages 300 times more, and the report showed the most overpaid executives make thousands of times more than their average worker. Weaver argued no one person added that much value to a company.

"There is no person in the world that added as much value as 1,000 other people," Weaver contended. "There's no question if 1,000 workers disappeared, versus if the CEO disappeared, what would be the outcome."

When As You Sow began its reports 10 years ago, the average compensation of the 10 most overpaid
CEOs was $56 million. This time, the number was $88 million, a 59% increase. While boards have long been compensating executives with stock options, Weaver noted it creates the potential for short term thinking.

"If you attract somebody who's primary interest is seeing how much they can score, that's not good for shareholders long term, because that incentivizes a real short-term focus," asserted. "Maybe you want to cut jobs and cut services, and Wall Street likes that, and the stock price goes up, but you're hollowing out a company in the long term. And I think we've seen too much of that."

She added some shareholder groups are now advocating for changing stock ownership rules for executives so they are required to hold shares for a longer period of time after leaving the company.

This story was produced based on original reporting by Sonali Kolhatkar for Yes! Magazine.


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Immigrant New Yorkers want lawmakers to create an unemployment bridge program.

It would support unemployed workers who are ineligible for state unemployment insurance by establishing a $500 million fund, providing monthly compensation equal to what other workers receive.

Beyond undocumented people, freelancers and self-employed workers would also be eligible.

Sol Freire Figueroa, labor campaigns director with New York Communities for Change, said this will take a lot of political will.

"Right now in the current environment, the immigration conversation has been a topic that not everyone is willing to talk about, or take care of," said Figueroa. "There are many things the immigrant community needs, and we need the willingness of leadership to stand up for the immigrant community."

While the program has statewide support from lawmakers, it's still a budding concept.

A bill establishing the program was brought before the state Legislature, but failed to advance out of committee.

Figueroa said the biggest source of opposition centers around its potential funding source - a digital ad tax from companies with annual gross revenue from these services of $100 million or more.

While the tax is being debated, it's expected to raise $1 billion for New York, with the unemployment bridge program costing half that.

The program stems from the pandemic-era Excluded Workers Fund which filled a similar role. Figueroa said given how the economy has changed, this program has been a long time coming.

"Considering we're living in an economy where we have more and more workers accessing jobs like working at Uber, or a delivery worker," said Figueroa. "They should be able to access this type of benefit as they are putting the hours in, they are putting the work in."

Once the bill passes the state Legislature and is signed by the governor, Figueroa estimated it could take a year to get the program started.




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Federal investments are helping the city of Boston develop greater workforce training programs.

The city received $23 million in 2022 to develop pathways into quality child care, health care and energy jobs.

Trinh Nguyen, chief of worker empowerment for the City of Boston, said city officials knew they needed to focus on getting communities of color and women into well-paying careers.

"We also knew that there are very motivated, talented Boston residents who don't have a bachelor's degree that can meet employers' demand up and down the supply chain," Nguyen explained.

Nguyen pointed out about 2,800 Greater Boston residents have enrolled in the workforce training program. Already, more than 1,000 graduates have secured employment with benefits and opportunities for upward mobility.

In Boston, a significant focus has been child care, a sector in which young people are not filling positions quickly enough as more experienced providers retire.

Nguyen noted too often young people simply do not have the information they need to learn about training and licensure opportunities or where a job in child care could ultimately lead.

"You really have to go into the community and really inform about career pathways in child care," Nguyen observed. "We want to make sure that we have child care workers that reflect the diversity of the clientele for child care."

Nguyen added a stable and secure child care workforce is crucial to the region's future economic growth and that city officials are working with more than 100 employers to secure well-paid jobs for training program graduates. The training is made possible through the federal Good Jobs Challenge program, created through the American Rescue Plan.

For some, apprenticeships provide more than just a job, they offer a career path.

Industry leaders are working around the clock, not only on their day jobs but also to recruit the next generation seeking an alternate path to traditional college.

Jason Strickland, business manager for United Association Local 803, which represents plumbing, pipe fitting, and HVAC professionals in Central Florida, stepped out of his job fair to share how the program changed his life.

"I come from a family where there would be days I would come home and the power people would cut the power off where the locks would get put on the water because my folks couldn't pay all the bills all the time," Strickland recounted. "And now I don't have those same worries and my kids don't have those same worries because I got benefits. I got retirement. I got good training."

Strickland emphasized apprenticeship programs are essential for meeting the growing demand for skilled labor in the Sunshine State. He noted they are using social media to connect with younger generations and share opportunities in the trades. National Apprenticeship Week marked its 10th anniversary last week.

Glenn Kelly, Southern regional representative for North America's Building Trades Unions, prides himself on showcasing how apprenticeship programs offer hands-on-training while allowing participants to earn a living wage.

"We make sure that people understand that you can work with these hands and be able to have a good career for yourselves, make a good livable wage, a good sustainable career," Kelly outlined. "You can have opportunity to be able to retire with dignity. "

To explore a network of apprenticeship opportunities, individuals can learn more from Apprenticeship Florida, which provides access to navigators and resources for both employers and apprentices, all offered through CareerSource Florida and the Florida Department of Education.


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