Ed Miliband has put forward two proposals to tackle executive pay, both of which the TUC has campaigned for over many years. In a speech on Monday, the Labour leader said that under a Labour government, companies would be required to publish the ratio of their directors’ pay to average company employee pay.
The gap between top company directors’ pay and the pay of their own employees (and indeed average earnings in the economy as a whole) has risen inexorably over recent years, despite a provision in the Corporate Governance Code that says that remuneration committees should take into account pay and conditions elsewhere in the company.
