Pay gaps make firms less efficient, think tank claims
Organisations with unequal pay have more industrial disputes, more sickness and a higher staff turnover, a new report suggests.
The High Pay Centre, a think tank which campaigns against high pay, found that companies with a narrower gap between the highest and lowest paid functioned more effectively.
The body questioned over 2000 workplaces to compile the findings.
Luke Hildyard, Head of Research, told BBC Radio 5 live's Morning Reports: "People just become demoralised... as a result of the big pay gaps between themselves and the people at the top of the company."
20 Jan 2014
- From the section Business