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Inequality in South Africa is High, whether Measured by Income or Wealth

One of the results is that there’s acute public scrutiny of executive compensation. This is understandable given that the skew in rewards for executives compared with wages of workers is one of the key drivers of rising inequality – in South Africa and across the globe. Using a sample of companies across various sectors of the economy analysis showed that CEOs earn between 150 and 949 times more than the average pay of all South African workers. Researchers submitted their findings to hearings in parliament on two bills tabled earlier this year – the Companies Amendment Bill and the Companies Second Amendment Bill. If passed, the bills would make it compulsory for companies to disclose their pay gap ratios. The aim is to encourage adequate disclosure so that all stakeholders have sufficient data to make informed decisions.

SOURCE:THE CONVERSATION