Quick Facts
- Category: Environment & Energy
- Published: 2026-05-01 18:34:23
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The Affordability Crisis and Extreme Inequality
With gas prices, energy bills, and grocery costs continuing to climb, the affordability crisis has become a central concern for workers worldwide. However, according to Patricia Stottlemyer, policy lead for labor rights at Oxfam America, this crisis cannot be fully understood without examining the extreme wealth inequality that underpins it. As everyday expenses rise, the gap between average workers and the ultra-rich—including corporate CEOs—has also widened dramatically.
The Staggering Pay Gap: CEOs vs. Workers
In 2025, the top 1,500 CEOs of the world's largest corporations enjoyed an 11% real-terms pay increase, while the average global worker saw their real wages rise by only 0.5%. This means CEO pay grew 20 times faster than workers' wages. In the United States, the disparity was even more pronounced: CEO compensation surged by 25.6%, compared to a paltry 1.3% for workers—a ratio of 20.4 to 1.
These findings come from a new analysis by the International Trade Union Confederation (ITUC) and Oxfam, released in conjunction with International Workers' Day (May Day). The report underscores how workers are being left behind in an economy that increasingly favors corporate elites.
CEO Compensation: A Record-Breaking Year
The average CEO took home $8.4 million in pay and bonuses in 2025, up from $7.6 million in 2024. Looking back further, the growth becomes even more stark: in 2019, the average CEO earned $5.5 million—a 54% real-terms increase over just six years.
Some executives far exceed these averages. For instance, the CEO of semiconductor company Broadcom received a 2025 pay package totaling $205.3 million, while Microsoft's CEO earned $96 million.
Workers Bear the Brunt of Rising Costs
While CEOs enjoy historic compensation, workers have seen their real wages drop by 12% since 2019. At the same time, essential costs have soared: food prices increased by 15% and gasoline prices by 14% (inflation-adjusted) over the same period. On April 28, U.S. gas prices hit a four-year high, averaging $4.18 per gallon.
Stottlemyer emphasizes the human toll: "Food and gas prices are soaring, and 48% of the world is living in poverty. And while workers face that exceptional hardship, the CEOs of the world's largest corporations have never had it so good."
Billionaire Wealth Surges at Unprecedented Rate
The benefits of economic growth are not limited to CEOs. Billionaires overall have become vastly richer: in 2025, total billionaire wealth grew by $126,000 per second. Already in 2026, the world's billionaires are collectively $4 trillion richer than they were just 12 months ago.
A key driver of this wealth is dividends from the companies they invest in. In 2025 alone, corporations paid out $79 billion in dividends to billionaires—equivalent to $2,500 per second. This highlights a system where capital owners reap massive rewards while workers' wages stagnate.
The Urgent Need for Change
The data from ITUC and Oxfam paint a clear picture: the economic recovery since the pandemic has disproportionately benefited the already wealthy. As Stottlemyer notes, "This data really puts some numbers behind what average working folks are feeling day to day." Without policy interventions to address income inequality, the gap will only continue to widen, leaving millions of workers struggling to afford basic necessities while CEOs and billionaires enjoy unprecedented prosperity.