Tuesday, August 13, 2024

16738: Comparing Compensation Compounds Systemic Racism In Adland

 

Adweek reported on the multimillion-dollar salaries enjoyed by CEOs at White holding companies, comparing the obscene annual amounts to the average pay of regular workers at White advertising agencies within the global networks.

 

For example, Omnicom Chairman-CEO-Pioneer of Diversity John Wren pocketed $20.2 million in 2023—382 times more than the median wages of the corporation’s 75,900 drones.

 

Management expert Peter Drucker is probably spinning in his grave over the extreme disparities. The Drucker Principle on the topic was summarized by his following quotes: “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. … I’m not talking about the bitter feelings of the people on the plant floor… It’s the midlevel management that is incredibly disillusioned” by ginormous CEO compensation.

 

To be fair regarding the unfairness, Wren’s 2023 paycheck is low compared to the salary of former WPP Overlord Martin Sorrell, who took home $65 million in 2014—which translated to 780 times more than WPP drones in that period. Hell, Sir Peanut was awarded an exit package from WPP that wildly surpassed the money most Adland peons will see in their lifetimes.

 

Of course, such examinations rarely consider the financial inequality that might be exposed via weighing CEO wallets to the money sacks carried by people of color and Human Heat Shields in the industry. The 1619 Project would undoubtedly liken matters to the racist relationship between plantation owners and slaves.

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