Ben & Jerry's policy used to be that no employee could make more than 5x than the lowest paid worker!
Ben & Jerry's has been making delicious ice cream treats since 1978. The business started off in a small town in Vermont, and has grown to be a nation wide empire of frozen deliciousness.
During the 1980's, this small town ice cream maker had a rule that said that no employee, including the CEO, could make more than 5 times what the lowest paid worker was making. Essentially, this capped the CEO's salary at $81,000 a year.
This policy lasted until 1994, when one of the founders of Ben & Jerry's, Ben Cohen, retired from the company and the company decided it needed to offer higher salaries in order to acquire an outside business man as the new head of the company!
Before 1990, the average worker to CEO pay ratios were less than 1 to 100. By 2000, these ratios had increased to 1 to 500 before being lowered in 2003 to 1 to 300.
This means that today, the average CEO is paid 300 times more than the lowest paid position in the company!