What Is the Southwest Airlines CEO-to-Worker Pay Ratio?
Southwest Airlines's CEO-to-worker pay ratio is 173:1 — CEO Bob Jordan earned $13.0M in 2024, or 173 times the median Southwest Airlines employee's pay of $75,000. That is below the S&P 500 median of roughly 300:1.
This page answers a common executive-compensation question: What Is the Southwest Airlines CEO-to-Worker Pay Ratio?. The answer draws on SEC DEF 14A proxy statements, the public disclosure mechanism for U.S. public-company executive pay. Every public company must file an annual proxy statement disclosing CEO and named-executive-officer compensation in detail. Why this matters for shareholders: executive compensation is the single most-disclosed governance metric at U.S. public companies, and the Dodd-Frank-mandated say-on-pay vote gives shareholders an explicit channel to express approval or dissent. Reading pay data well — including pay-versus-performance, peer-group selection, and time-vesting structures — is a basic part of stock-by-stock fundamental analysis.
The detailed answer below uses the actual proxy-statement filings, explains how to read them, and translates the executive-compensation accounting into the shareholder-relevant interpretation.
Southwest Airlines Pay Ratio Breakdown
- CEO-to-worker ratio
- 173:1
- CEO total comp
- $13.0M
- Median worker pay
- $75,000
- S&P 500 median ratio
- ~300:1
- Employees
- 74,000
- Pay-Performance grade
- C
Source: Southwest Airlines SEC DEF 14A proxy statement (Dodd-Frank §953(b) pay-ratio disclosure). S&P 500 median is an industry benchmark.
Public companies have been required to disclose the ratio of CEO pay to median-employee pay in their proxy statements since 2018, under Section 953(b) of the Dodd-Frank Act. At Southwest Airlines, Bob Jordan's $13,000,000 total compensation works out to 173 times the $75,000 earned by the company's median employee — a Airlines workforce of roughly 74,000 people.
For context, the typical S&P 500 CEO-to-worker pay ratio runs near 300:1, so Southwest Airlines's 173:1 figure is lower than the large-cap norm. The ratio is driven mostly by equity: Bob Jordan received $6,500,000 in stock awards and $1,560,000 in option awards in 2024, versus $1,300,000 in base salary. Median worker pay reflects total cash and benefits for the employee at the 50th percentile of the company's global workforce.
Whether a high ratio is "fair" is contested. Critics argue wide gaps signal misaligned incentives and weak labor bargaining power; defenders argue CEO pay is mostly performance-linked equity that only pays out if shareholders gain. Southwest Airlines's three-year total shareholder return of -2.0% and Pay-for-Performance grade of C (50/100) are the data points to weigh that against.
In the most recent say-on-pay vote, 89.4% of shareholders approved the executive compensation plan. Moderate shareholder support suggests some investor concern with pay practices.
Pay Ratio Inputs
| Component | Amount |
|---|---|
| Total Compensation | $13,000,000 |
| Base Salary | $1,300,000 |
| Stock Awards | $6,500,000 |
| Option Awards | $1,560,000 |
| Median Worker Pay | $75,000 |
| CEO-to-Worker Pay Ratio | 173:1 |
| Pay-Performance Grade | C |
Other Airlines CEOs
Frequently Asked Questions
Southwest Airlines's CEO-to-worker pay ratio is 173:1. CEO Bob Jordan earns approximately 173 times the median worker's pay of $75,000, as disclosed in the company's SEC DEF 14A proxy statement.
The typical S&P 500 CEO-to-worker pay ratio is around 300:1. Southwest Airlines's 173:1 figure is below that benchmark.
The ratio is driven mainly by equity. Bob Jordan received $6,500,000 in stock awards and $1,560,000 in option awards in 2024, against base salary of $1,300,000. The median Southwest Airlines employee earns $75,000.
Bob Jordan, CEO of Southwest Airlines, earned $13.0M in total compensation in 2024, including $6.5M in stock awards and $1,300,000 in base salary.
Bob Jordan is the chief executive officer of Southwest Airlines (LUV).
Our Pay-for-Performance Score rates Southwest Airlines as C (50/100), based on three-year total shareholder return of -2.0%, revenue growth of -3.0%, and shareholder say-on-pay vote approval.
More about Southwest Airlines
Southwest Airlines's CEO-to-worker pay ratio is 173:1 — CEO Bob Jordan earned $13.0M in 2024, or 173 times the median Southwest Airlines employee's pay of $75,000. That is below the S&P 500 median of roughly 300:1.
Source: SEC EDGAR DEF 14A proxy statements, 2026.