Los Angeles groups seek a tax on firms with CEOs paid over 50 times median workers to fund housing and infrastructure.

Los Angeles labor groups are pushing a ballot initiative, the "Overpaid CEO Tax," to impose a business tax on large companies with CEOs earning more than 50 times the median worker pay, aiming to raise funds for housing and infrastructure. The measure, targeting firms with 1,000 or more employees, would increase taxes up to tenfold and requires 140,000 signatures by March 15 to qualify for the November 2026 ballot. It follows a city council decision to raise hotel and airport worker wages to $30 an hour by 2028, which sparked a failed repeal effort. A competing initiative seeks to eliminate the city’s business tax entirely. The proposal is part of a broader debate over economic inequality ahead of the 2028 Olympics.