Skip to content
Subscriber Only
Michelle Leder

Is a CEO Worth 1,000 Times the Median Worker?

Companies were right to fear pay-ratio disclosure. It’s embarrassing.

Well paid.

Well paid.

Photographer: Jason Redmond/AFP/Getty Images

Chipotle recently became the latest company to voluntarily raise worker pay, announcing that many of its 76,000 hourly employees would get a bump to $15 an hour. This occurred shortly after the company disclosed that CEO Brian Niccol had made nearly 3,000 times the median employee salary in 2020, up from 1,136 times in 2019 and among the top ten highest pay ratios among companies in the Russell 3000 stock index, according to research firm Equilar.

Coincidence? Or is the pay bump for the rank and file a sign that the most highly compensated senior executives are starting to feel a tinge of shame?