Soaring chief executive pay highlights need for fundamental changes. (2016)

“…Too often, high levels of CEO pay are explained by the power and personality of the individual CEO …

Article based on research by Dr Almuth McDowall and colleagues from Birkbeck University of London, Lane4 and PayData.
Science Daily, 5 January 2016 from materials provided by British Psychological Society (BPS)

“The average CEO pay of Britain’s blue chip companies in the FTSE 100 Index is now 187 times higher than that of the average UK full time employee; compared to 47 times higher than average pay in 2001.

“…over half of very senior decision makers, believe that CEOs pay is justified by the need for profit. Others believe that it is more important to consider the long term needs of the business, and also to consider the behaviour of the CEOs’ themselves.

“…Individuals with more narcissistic tendencies are most likely to emerge as leaders and are also more adept at negotiating themselves higher rewards — with the most powerful even ‘rigging’ their company’s performance outcome measures to present them in the best possible light and thus demand even higher rewards for themselves.

“…Too often, high levels of CEO pay are explained by the power and personality of the individual CEO …

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