New research report analyses CEO pay in the top 50 best known charities
nfpSynergy data looks at five years of CEO salaries in the UK's 50 best-known charities
The main results:
- Total income has increased by 17.7% (an average of 3.5% per year), with voluntary income up 11.6% (an average of 2.3% per year)
- CEO salaries have risen 18% - almost exactly in line with charities' income
- Staff costs have gone up 24.2% (an average of 4.85% a year)
- There has been a re-balancing of salaries across the sector – those paying under £100k in 2007 have increased salaries by 38% on average, while those over £100k have increased pay by just 6%
- Big charities do pay their CEOs more
Joe Saxton, Driver of Ideas at nfpSynergy, said:
"Back in the summer, it was easy to get the impression that the pay of some of the CEOs at Britain’s best known charities was out of control. What our research shows is that CEO pay is highly correlated to the total income of the charity and to the staff costs. It also shows that CEO pay grew by 18% between 2007 and 2012 and the total income increased by 17.7%.
So on aggregate, far from CEOs salaries growing massively while their organisational income faltered, the two are closely linked. The task now is to persuade the British public that charity CEOs are worth what they earn, and that an effective CEO is critical to donations being professionally raised and professionally spent."
The report is attached and it has all the details.