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New Jersey Among Top 10 U.S. States With the Widest CEO-Worker Pay Gap

New Jersey ranks second nationally for the widest pay gap between CEOs and workers, a new Techr study shows.

By Donna Joseph
May 3, 2025 10:28 PM Updated May 10, 2025
New Jersey Among Top 10 U.S. States With the Widest CEO-Worker Pay Gap. Photo by SBR

ANALYSIS, May 3, 2025 — New Jersey has the second widest CEO-to-worker pay ratio in the United States, according to a new analysis by Techr, an online HR platform.

The study examined occupational employment and wage estimates from 2021 to 2024, comparing median worker salaries across all 50 states to average executive compensation. The analysis drew from publicly available data in The Currency and the U.S. Bureau of Labor Statistics database.

In New Jersey, CEOs earn an average annual salary of $395,478, while the state’s median worker income stands at $54,860 — a 621% disparity. Only South Dakota recorded a larger gap, with a 652% difference between executive and worker pay.

Techr's research highlights how these pay imbalances are playing out nationwide. Other states with high gaps include North Carolina (587%), Oregon (538%), and Texas (535%).

A spokesperson for Techr said in a statement, “The study reveals that states like New Jersey experienced the second highest CEO-to-worker pay gap in the U.S. This growing divide, while concerning, highlights the need for states to consider more equitable compensation practices. To ensure economic stability, leaders should focus on developing balanced pay structures, improving transparency in compensation reporting, and implementing data-driven strategies to reduce income inequality while keeping businesses competitive.”

Table for Expanded Results:

Top 10 U.S. States With Highest CEO Salary

State

Median Salary

Average Chief Executives Annual Salary 2021-2024

% increase from           median salary

Rank

South Dakota

$43,680

$328,585

652

1

New Jersey

$54,860

$395,478

621

2

North Carolina

$45,440

$312,320

587

3

Oregon

$50,010

$319,190

538

4

Texas

$45,970

$292,137

535

5

Michigan

$46,940

$288,073

514

6

Virginia

$49,920

$294,758

490

7

Illinois

$48,730

$277,495

469

8

Hawaii

$50,510

$287,408

469

9

Indiana

$45,470

$255,840

463

10

The findings add weight to the broader conversation about income disparity and wage transparency, as pressure mounts on policymakers and corporate boards to reevaluate compensation policies. While CEO pay remains under scrutiny, especially in high-cost states like New Jersey, workers and advocacy groups are calling for a stronger push toward income equity.

The full study was published by Techr and is available at elearningindustry.com/hr-directory.

This growing divide highlights the need for states to consider more equitable compensation practices.


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