10:34 AM Eastern - Thursday, September 25, 2008

$17,000 an Hour for CEO of Biggest Ever Bankruptcy

One of the reasons SEIU is organizing and mobilizing support for the Employee Free Choice Act is to restore balance in the workplace.  While the imbalance of rights at work is a serious issue of its own, there's an astounding difference in compensation between workers and CEOs.

Let's look at CEO pay: while the minimum wage for workers is just $6.55 an hour, the average pay of a CEO is $6,153 an hour.  In other words, your average CEO makes almost 1,000 times as much as a minimum wage worker every hour.

That's pretty outrageous by itself, right?  Then we saw what the CEO of newly-failed firm Lehman Brothers made:

You should be raking it in like Richard Fuld, the longtime chief of Lehman Brothers. He took home nearly half-a-billion dollars in total compensation between 1993 and 2007.


Last year, Mr. Fuld earned about $45 million, according to the calculations of Equilar, an executive pay research company. That amounts to roughly $17,000 an hour to obliterate a firm.


You read that right: $17,000 an hour.  For the record, Lehman Brothers' bankruptcy was the largest in US history, beating out the next biggest bankruptcy by half a trillion dollars in assets.

The worst part of it all?  Lehman Brothers CEO Richard Fuld still has his job - unlike 605,000 of America's workers who've lost theirs in 2008.

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