Terms and Data Sources
CEO compensation data was obtained from proxy statements filed with the U.S. Securities and Exchange Commission (SEC) for the latest fiscal years. It includes data for some 3,000 corporations, including most of those listed in the Russell 3000 Index. The compensation year reported on the website denotes the fiscal year as reported in the proxy statements. This data is updated, usually monthly, throughout the year. Industry classifications are based on Standard Industrial Classification (SIC) codes obtained from proxy statements.
Hourly CEO pay assumes 52 40-hour workweeks using the CEO's total compensation. All data are actual, derived from proxy statements.
The average annual income earned by workers is taken from the U.S. Bureau of Labor Statistics (BLS) Current Employment Statistics Survey. Specifically, it is the average hours and earnings of production and nonsupervisory employees on private nonfarm payrolls. The average weekly pay is multiplied by 52.
The state-level average annual income is taken from the BLS' State and Metro Area Employment, Hours and Earnings data. Specifically, it is the average hours and earnings of all employees on private nonfarm payrolls in each state. State minimum wage information comes from the U.S. Department of Labor. State-level living wage data comes from the Economic Policy Institute’s Family Budget Calculator. Specifically, the living wage is calculated by dividing the median living wage in a state for a two-adult and two-children household by two. The family budget costs used in the Family Budget Calculator reflect 2013 prices.
CEO Name and Company: The name of the CEO and company affiliation is derived from the proxy statement. The website does not adjust for CEO changes at a company after the fiscal year.
Salary: Salary paid to the CEO for the fiscal year.
Bonus: Bonus paid to the CEO in the fiscal year.
Value of Stock Awards: The value of the stock awards granted in a fiscal year as listed in the Summary Compensation Table. Stock awards are in the form of stock or restricted stock that is either time vesting or performance vesting.
Value of Option Awards: The value of stock option awards granted in a fiscal year as listed in the Summary Compensation Table. Stock options are the right to purchase a specified number of common stock at a stated exercise price for a specified period of time.
Non-Equity Incentive Plan Compensation: This is compensation earned pursuant to non-equity incentive plans. This includes incentive plan awards that are not stock or equity. Incentive plans generally provide for compensation intended to serve as an incentive for performance to occur over a specified period.
Change in Pension Value and Non-Qualified Deferred Compensation Earnings: This is the increase in actuarial value to the executive officer of all defined-benefit pension plans and earnings on non-qualified deferred compensation plans over the past year.
All Other Compensation: The value of perquisites and other benefits provided to the CEO. This could include personal use of company cars and airplanes, country club memberships, tax reimbursements, insurance plans or payments to saving plans. Payments to savings plans are part of Change in Pension Value and Non-Qualified Deferred Compensation Earnings.
Total Compensation: Total compensation is determined by adding the above components: (1) the salary, (2) the bonus, (3) all other compensation, (4) the value of stock and option awards, (5) the value of non-equity incentive plan compensation and the change in pension values and (6) non-qualified deferred compensation earnings.
Text Graphics Sources
Six Walton family members have more wealth than 43% of U.S. families combined.
Economic Policy Institute. Walton Family Net Worth is a Case Study Why Growing Wealth Concentration Isn’t Just an Academic Worry.
A Walmart employee earning $9 an hour would need to work 1,036 hours to equal a single hour of Walmart CEO Doug McMillon’s pay.
Walmart CEO pay data from its April 22, 2015, proxy statement. McMillon’s hourly CEO pay assumes 52 40-hour workweeks using the CEO's total compensation.
Who benefits from unfair trade deals? As the largest importer in the United States, Walmart imported 731,500 shipping containers of goods in 2013.
Journal of Commerce. Top 100 U.S. Importers in 2013: U.S. Foreign Trade Via Ocean Container Transport.
Interactive Graphics Sources
CEO Pay Rises Again
2013 and 2014 CEO-to-average worker pay ratio calculated based on AFL-CIO analysis of 350 and 472 available companies in the S&P 500, respectively. Average worker pay according to Bureau of Labor Statistics data for production and nonsupervisory workers. CEO-to-worker pay ratios from 1980 calculated by Bloomberg Businessweek, as reported in Executive Pay: The Party Ain’t Over Yet, April 26, 1993.
Real Hourly Wages Stagnant
Economic Policy Institute. Why America’s Workers Need Faster Wage Growth—And What We Can Do About It, Figure D. AFL-CIO analysis of Walmart proxy statements.
Walmart CEO pay data from its April 22, 2015, proxy statement. Costco CEO pay data from its Dec. 19, 2014, proxy statement. Hourly CEO pay assumes 52 40-hour workweeks using the CEO's total compensation.
Average pay calculated based on Walmart’s self-reported pay data of $10 per hour for part-time employees and $13 per hour for full-time employees. Walmart Stores Inc. In Letter to Associates, Walmart CEO Doug McMillon Announces Higher Pay, Feb. 19, 2015.
Walmart estimates that 50% of its employees are part-time and 50% are full-time. Walmart Stores Inc. Walmart’s Fiscal Year 2015 Q4 Earnings Results–Media Call Transcript, Feb. 19, 2015.
Income Growth and the Top 1%
Emmanuel and Piketty, Thomas. Income Inequality in the United States, 1913-1998, Quarterly Journal of Economics, 118(1), 2003, 1-39 (tables and figures updated to 2013 in Excel format, January 2015).