Adweek published content exposing the paychecks of CEOs at White holding companies, even displaying the Advertising CEO-to-Employee Pay Ratio (depicted below).
Iconic Management Expert Peter F. Drucker advocated a ratio of 20 to 1 and stated, “I have often advised managers that a 20 to 1 salary ratio is the limit beyond which they can not go if they don’t want resentment and falling morale to hit their companies.”
Interestingly enough, Sir Martin Sorrell is the only honcho abiding by Drucker’s recommendation—although he greatly exceeded the ratio when serving as WPP Overlord.
Drucker was correct in recognizing the ratio could ignite resentment and falling morale. Mission accomplished, boys!
In the end, it just goes to show how it pays to be a White man in Adland.
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