Taking the Piss

What indicators might one draw on a graph to help justify the rises in boardroom pay? I mean they live in the same world as everyone else and subject to the same constraints, so lets have a go over a ten year period..

Time: They may work longer so lets say 20%.

Capability: I doubt capability grows much but lets be generous, say 10%

Inflation: At 2% pa that 19%.

Footsy index: Well it’s gone up and down but it’s near where it was, 0%

Profitability: Very individual but overall it’s fairly stagnant, 0%.

Share holder income: Say 2% pa, again around 20%.

Workers pay: Again around 20%

So over ten years these average out at around 16%

OK in this time boardroom pay has increased by around 13% pa, so through the miracle of compound interest it has grown to 300% of its start point.

So irrespective of amounts this growth cannot be justified by any relevant criteria. It’s simply a case of if you can choose your own pay rise you’ll make it a big one.
Oops drawn it wrong. Lines should go through 100% not zero. Still due to the absurdity of the situation it makes f all difference.