UAW Strike Highlights CEO-to-Worker Pay Disparity, a Major Risk to Companies and Shareholders

FOR IMMEDIATE RELEASE

MEDIA CONTACT: Sophia Wilson, [email protected], (341) 600-1832

BERKELEY, CALIFORNIA—SEP. 15, 2023—United Autoworkers of America (UAW) last night announced plans for targeted, stand-up strikes in three states against Ford, General Motors, and Chrysler after negotiations fell through. Shrinking the widening gap between CEO pay and workers' pay in years marked by record-breaking profits has been central to UAW’s demands. 

As You Sow’s annual 100 Most Overpaid CEOs report tracks compensation and the pay disparity between CEOs and their median workers’ pay for U.S. companies. Ford has been on the report five times in the past nine years with a 2022 CEO-to-worker pay ratio of 281:1. General Motors has made the list twice with a 2022 ratio of 362:1. Excluding Chrysler’s foreign parent company Stellantis, CEOs of foreign automakers earn significantly less than their U.S. counterparts.

“As a consequence of out-of-control executive compensation, shareholders are now faced with striking workers at a critical juncture as these companies transition to EV production,” said Rosanna Landis Weaver, director of wage justice and executive compensation at As You Sow. “UAW members see the CEO pay disparity as a measurement of how they are undervalued. Skyrocketing CEO pay is linked to worker dissatisfaction and lower profits, making excessive pay a distinct material risk that shareholders must take seriously.” 

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As You Sow is the nation’s leading shareholder representative, with a 30-year track record promoting environmental and social corporate responsibility and advancing values-aligned investing. Its issue areas include climate change, ocean plastics, pesticides, racial justice, workplace diversity, and executive compensation. Click here for As You Sow’s shareholder resolution tracker.