Money For the Rest of Us · Wednesday, October 21, 2026
The host explains that U.S. corporate profit margins have reached their highest level since 1961, driven largely by employee compensation failing to keep pace with productivity gains. This dynamic has resulted in lower relative worker pay and record profit margins that fuel corporate earnings per share.
“Their profit margins, what their earnings are, compared to sales, is... Really the highest since 1961. And that's coming out of the pockets of their employees.”
“The amount of pay or compensation employees are getting relative to the value being created, It's the lowest ever.”