Los Angeles: Outside the Tesla Diner in Hollywood, the Fair Games Coalition, comprised of community leaders, labor organizations, and advocates, announced the launch of the Overpaid CEO Tax Initiative, a people-powered ballot measure to ensure that corporations that contribute to extreme wealth inequality pay their fare share so that working families in Los Angeles can thrive.

Ahead of the Olympic & Paralympic Games in 2028, the initiative would progressively tax large corporations whose CEOs earn more than 50 times their median worker in Los Angeles, generating more than half a billion per year to reinvest directly into Los Angeles communities.

Los Angeles is one of the least affordable cities in the world. Housing costs continue to soar, grocery prices are skyrocketing, and critical neighborhood infrastructure like streets and sidewalks remain in disrepair. At the same time, compensation for corporate executives has reached staggering levels — in 2024, CEOs at the nation’s largest companies earned an average of 281 times more than their typical worker.

The Overpaid CEO Tax Initiative would ensure corporations that overpay executives while underpaying workers contribute their fair share, with the anticipated half-billion dollar revenue allocated as follows:

• $350 Million annually to build tens of thousands of housing units for working people such as teachers, grocery workers, firefighters, and hotel room attendants.
• $100 Million to repair over 100 miles of sidewalks every year.
• $25 Million for after-school programs like LA’s Best, serving over 12,000 students each year and giving working families safe, high quality care for their kids.
• $25 Million to support 25 grocery stores annually bringing healthy food choices into areas with no decent options.
• The Fair Games Coalition outlined the initiative’s path to the November 2026 ballot and called on organizations and residents to join a broad coalition to collect signatures and mobilize voters.

“This matters now more than ever, as Los Angeles prepares to host the Olympics and Paralympics. A fair Olympics requires a fair economy — and the Overpaid CEO Tax is part of that deal. As the city gets ready to host these mega events and forces like Airbnb, Delta and the American Hotel and Lodging Association try to control the wealth, this tax will even the playing field for the working families of this city,” said Kurt Petersen, co-president of UNITE HERE Local 11.

Lisandro Preza, member of UNITE HERE Local 11  who works as a cashier at LAX for a company called Paradies Lagardère said, “This Overpaid CEO tax will be a lifeline for so many angelenos like myself. To stay housed, I have to count every penny. If I make one mistake, I have to ask my family for money  just to survive. That stress makes my health worse, trapping me in a cycle that feels impossible to escape. I am one emergency away from homelessness. I can’t cover emergencies, I can’t save, and I can’t even imagine a vacation or a stable future.”

“Our streets are in need of repair. Our sidewalks are crumbling. We see the same neighborhoods left behind again and again. The Overpaid CEO Tax will fund the city to build, maintain, repair, and make desperately necessary infrastructure improvements, including improving public streets, protecting tree canopy, and repairing sidewalks. Our members know first hand how crucial and necessary these repairs are, and we are ready to get this initiative on the ballot,” said Raymond Meza, of SEIU 721 the largest public sector union in Southern California, representing over 100,000 workers, including in street services.

“UFCW Local 770 represents more than 27,000 workers across healthcare, grocery, food processing, and cannabis, and our members support this initiative because we want a Los Angeles that works for everyone. Since 1978, CEO pay has exploded while worker pay has barely moved, creating the extreme inequality we see today. In one of the nation’s largest food-producing states, no neighborhood should be a food desert. The Overpaid CEO Tax is about finding a solution to extreme income inequality, fixing a broken system, and making sure working families can put fresh, healthy food on the table.” – Kathy Finn, President, UFCW Local 770

“With the housing crisis deepening and inequality growing, we must prepare for 2028 by making sure corporations and the wealthiest pay what they owe instead of pushing the costs onto working families. While CEOs profit from underpaying workers, too many Angelenos are struggling to make ends meet in their own neighborhoods. The Overpaid CEO Tax Initiative would help ensure that the people who live, work, and raise families here, who do not treat this city as a playground, get the support and services our communities need to truly thrive.” – Cecily Myart-Cruz, President of UTLA, which represents 35,000 public educators.

Executive Director of Clergy and Laity United for Economic Justice, Rev. Jennifer Gutierrez  said “This ballot initiative is not a political issue. It is a moral and spiritual imperative for us to build the Beloved Community – where our neighbors can live safely in their homes, our streets are beautifully repaired, our children have adequate support to succeed in school, and every family has access to fresh food.”

###

The Fair Games Coalition is composed of more than 75 organizations including unions, community groups, housing advocates, and immigration leaders.