Montreal (AFP)

The compensation of Canada's 100 highest paid bosses was 227 times higher than that of the average employee in 2018, an all-time high, according to a survey by a research institute.

"In other words, at 10:09 am on January 2, the highest paid CEOs had already pocketed on average as much money as a Canadian worker would do all year long. This is the first time in 13 years that this has happened. as early in the year, "according to this annual study from the Canadian Center for Policy Alternatives.

From 2008 to 2018, the 100 highest paid CEOs saw their salaries jump by 61%, while that of an ordinary worker increased by only 24%, almost at the same rate as inflation, the study points out.

Between 2017 and 2018, bosses' compensation jumped 18% when that of an average employee increased by 2.6%, according to this rather marked institute on the left.

"Wealth continues to concentrate at the top while average incomes barely keep up with inflation," said study author David Macdonald.

In 2018, CEOs on average earned 11.8 million Canadian dollars (8.1 million euros) annually, compared to just over $ 52,000 for the average Canadian.

The majority (79%) of CEOs' compensation was made up of bonuses paid to them by companies, particularly in the form of stock options.

These options are securities which can be converted into shares of the company which distributes them at a very advantageous price fixed in advance.

In 2018, only four women managed to rise among the wealthiest bosses, against three the previous year.

In addition to the CEO's compensation, that of company executives also remains high, even when these companies suffer losses. For a third of them, the remuneration of the five highest paid executives amounted to at least 40% of the losses they had suffered.

In addition, 13% of profitable companies paid more money to these executives than they paid income tax.

The institute suggests some ways to reduce inequalities: a higher income tax rate for big bosses, the abolition of tax reductions granted to companies for salaries of more than a million dollars and a complete revision of loopholes, such as stock options.

© 2020 AFP