Daily Digest - June 18: Is High CEO Pay a Reward for Failure?

Jun 18, 2014Rachel Goldfarb

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Study: The Higher the Pay, the Worse the CEO (Vocativ)

Daniel Edward Rosen looks at a study from the University of Utah, which shows that companies that pay CEOs more than $20 million a year have average annual losses over $1 billion.

  • Roosevelt Take: Roosevelt Institute Fellow and Director of Research Susan Holmberg and Campus Network alumna Lydia Austin look at additional ways high CEO pay distorts the economy.

Chicago Aldermen Want a $15 Minimum Wage in Their City, Too (In These Times)

Progressives in Chicago are pushing their own minimum wage increase, reports Ethan Corey, and the popular measure would be implemented much more quickly than Seattle's.

  • Roosevelt Take: Roosevelt Institute President and CEO Felicia Wong says increasing the minimum wage is a powerful step to promote democracy.

A Small Increase in Inflation Squeezes U.S. Workers (NYT)

Neil Irwin reports that average wages have fallen 0.1 percent in the past year when inflation is taken into account, so while the economy may be improving, workers are still struggling.

The Big Freeze on Hiring (WaPo)

Companies are taking longer than ever to fill open jobs, and Catherine Rampell suspects their reluctance is due to continued uncertainty about the health of the economy.

Domestic Workers, Domestic Cargo (The Baffler)

Ned Resnikoff reviews Sheila Bapat's new book on domestic workers' rights and ties their struggle to other low-wage service jobs that are similarly disparaged as not "real jobs."

Critics Warn Starbucks Employees to Read the Fine Print of New Tuition Plan (ThinkProgress)

Alan Pyke speaks to education experts, who critique the Starbucks program for restricting tuition assistance to a single online university, with no options for in-person classes.

U.S. Reaches $968 Million Mortgage Settlement With SunTrust (WSJ)

Alan Zibel and Andrew R. Johnson report on SunTrust's settlement, the latest attempt to penalize banks for abusive mortgage practices. $500 million is reserved to help underwater homeowners.

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