S4M-15258: Fat Cat Tuesday

05 Jan 2016

That the Parliament notes that 5 January 2016 has been called Fat Cat Tuesday; understands that, according to the High Pay Centre, it is the day that top executives in the UK will have been paid more than the average yearly salary of a worker; further understands that the chief executives of FTSE 100-listed companies were paid an average of £4.96 million in 2014; believes that, even if they are assumed to work long hours with few holidays, this is still equivalent to an hourly pay of more than £1,200; understands with concern that the pay gap is increasing and that incentives for chief executives can include a bonus of 50% of their salary; believes that this is happening against the backdrop of the average annual pay of workers increasing by just 1.6% from £27,200 to £27,645 in 2015; agrees with the High Pay Centre that the figures raise doubts about the effectiveness of the UK Government’s efforts to tackle top executive pay, and, to help tackle what it sees as the toxic influence that the wealth gap has on society, hopes for implementation of the proposals by the centre, such as the representation of ordinary workers on the remuneration committees that set executive pay, and the publication of the pay gap between a company’s highest and median earner.