Executive Pay

John Walsh: Executive pay bonanzas are becoming harder to justify as inflation hits workers’ pockets

In the midst of a cost-of-living crisis, ill-thought-out bonuses which push bosses’ remuneration to sometimes 200 times the median staff salary have the potential to become dangerously political

Albert Manifold, the chief executive of CRH, was paid €13.9 million last year: this was 200 times the median salary in CRH. Picture: Maura Hickey

Christine Lagarde, the president of the European Central Bank (ECB), faces many daunting challenges. The ECB will have to increase interest rates to subdue surging inflation across the eurozone, but if it does this too aggressively it runs the risk of stagflation, the economic horror show that zombified many countries in the 1970s whereby the inflation rate is high, the economic growth rate slows, and unemployment remains steadily high.

Dealing with demands for higher pay ...