January 2, 2007

[For new warriors...remember this project focuses on sending letters to the editor, not to politicians. BUT...that doesn’t mean you can’t copy your letters to politicians and in this case it is a good idea. Please click here for email addresses of all the MPs.]

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The CCPA’s Hugh MacKenzie has just put out a great little piece highlighting the obscene CEO compensation packages (see CCPA news release and Canadian Press story). MacKenzie points out that by 9:45 this morning the average CEO (of the 100 highest paid in the country) will have already made what the average Canadian worker makes in a year.

[see Hugh’s whole study (just 5 pages) on the CCPA site]

On this one EVERYONE should write a very brief letter to the editor. You don’t need a lot of tips from me - just tap into your own moral outrage re: the totally disgusting lack of fairness and the damage done to the economy and productivity by these gross salaries.

FRAMING: The issue should simply be framed as the gross unfairness of CEOs making unjustifiable pay packages far beyond what any one person could possibly be worth to any company, while the people producing goods and services have been held to pay increases below the level of inflation for almost 15 years.

Facts from the study:

• By 12:13 pm on New Year's Day, while many Canadians were still nursing a hangover, Canada"s 100 highest paid CEOs had already pocketed what will take minimum wage workers the rest of 2007 to earn.

• The clock keeps ticking. By 9:46 am Jan. 2, as most Canadians begin another year of labour, Canada’s 100 highest paid CEOs will have reaped, on average, $38,010 in pay.

• By the time Canadians tune into the 6:00 news Jan. 2, Canada’s 100 highest paid CEOs will have pocketed nearly $70,000. The highest paid CEO will have pocketed more than $570,000.

• Make the obvious point that no single individual can possibly be so brilliant or talented that their time is worth this much.

• Ordinary employees who produce the good and services for these companies are told they can’t have pay increases because it would make their products “uncompetitive.” If that’s the case what does paying CEOs (and other top executives) tens of millions a year do to competitiveness and productivity? What is that money was put into research and development for new and improved products.

• you could make the point that these out-of-control pay packages (salary plus bonuses plus stock options) also mean governments have to compete for managers by offering higher and higher pay.

• Among the Group of Seven major industrialized economies, workers' share of national income shrank to a record-low 54 percent last year, while the share going to profits rose to 16 percent from 10 percent five years earlier, according to Morgan Stanley research. (see story)

• call for a government study of the negative impact of these outrageous pay packages and/or legislation to effectively cap pay packages (perhaps by denying tax-deductibility past a certain amount)

Click here to SEND YOUR LETTER NOW!

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