Workers Haven’t Received Such Little Share Of Corporate Income Since 19__

Workers Haven’t Received Such Little Share Of Corporate Income Since 19__

The Economic Policy Institute has performed an analysis finding that the share of corporate income that workers receive dropped in 2013 to the lowest it has been since 1950. Corporate income accounts for about three quarters of private sector income. It can be divided between the workers of a company and the owners. In 2013, under 73% of corporate income went to company employees.

Before the recession, the portion of corporate income that went to employees was already trending downward for about a decade. This downward trend is not based on a lack of productivity among workers. In fact, in a trend that has been noticeable since around 1979, workers are actually increasing their productivity while their wages are falling.

This rise in productivity is doing a good bit to help out corporations, giving them valuable labor for low costs. Corporate profits have been increasing radically in comparison to workers wages since around 2008, and corporate profit is expected to continue to rise even as the rest of the economy fairs less ideally.

Workers may continue to work hard and achieve highly productive results, but the chances of them getting their hands on a decent share of the corporate income are unfortunately miniscule.

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