Salary sheets (illustration).

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The economic crisis caused by the Covid-19 epidemic will have serious consequences on employment and remuneration.

If the salary of executives in the private sector remained stable in 2019 after two years of increase, the fall in GDP "will certainly have an impact" on their wages in 2020, the Association for the employment of executives (Apec) warned on Wednesday. .

A slower reduction in inequalities

The median annual gross compensation of private sector executives, including the fixed and variable part, amounted to 50,000 euros last year, according to a study carried out in March and based on the responses of 16,000 private sector executives, clients of Apec.

With the impact of the health crisis on salaries, “companies will have to be vigilant not to slow down the pace - still too slow - of reducing pay inequalities between women and men.

It's a real risk, ”worries the CEO of Apec, Gilles Gateau.

Gender pay inequalities persisted in 2019, even though the median salary of women increased by 2.2%, while that of men remained stable.

"With an identical profile", indicates the Apec, the men won "8% more than the women".

The Association stresses that the crisis "should have an impact on the variable components" of the income of private sector executives, linked to their results or to the performance of the company.

The variable part of their remuneration "should decrease", which will affect "in particular sales executives and those of large companies".

Incentive and participation "should be lower", with "notable effects for executives of large companies".

A more difficult start to your career

In addition, the crisis should “slow down” “individual or collective” wage increases, as well as internal or external mobility which “frequently” makes it possible to obtain an increase.

And in the event of unemployment, the return to employment "is sometimes accompanied by a decrease in remuneration," notes the Apec.

Other fears: a drop in the fixed remuneration of executives via the signing of collective performance agreements (CPAs) in companies and a less favorable salary development for executives "at the start of their career".

Last year, 62% of executives under 30 saw their compensation increase, compared to only 38% of those over 50.

Among those who changed companies, 78% of those under 30 were hired, compared to 54% of those over 50.

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