Mark Cuban Pushes Stock Ownership for All Workers to Close Wealth Gap, July 21

Billionaire entrepreneur Mark Cuban is calling on companies to give stock options to all workers, from janitors to CEOs, as a solution to income inequality. Speaking on the What It Takes podcast, Cuban said employees should receive equity equal to the same percentage of their salary that executives receive, turning more workers into owners and wealth builders.

Cuban’s track record with employee equity

Cuban gave stock to 330 employees at Broadcast.com before Yahoo acquired it for $5.7 billion in 1999, making 300 of them millionaires. He also distributed equity and cash bonuses at MicroSolutions, his first IT consulting company. Cuban has stated he has made or helped make at least a thousand millionaires through these practices.

The tax code incentive proposal

Cuban suggests using the tax system to encourage broader equity sharing. If a CEO receives stock equal to 10% of their salary, janitors should receive the same percentage, he argues. Companies meeting this threshold could keep the current 21% corporate tax rate. Those that fail would face higher taxes.

Why the wealth gap keeps growing

In 2024, S&P 500 CEOs earned 285 times more than their median worker, up from 268 times in 2023, according to the AFL-CIO. CEOs averaged $18.9 million in compensation, a 7% year-over-year increase of $1.4 million. Cuban has previously advocated for a $20 federal minimum wage and raised wages at companies where he found employees needed government assistance.

How ownership builds lasting wealth

Stock options differ from salary because they let workers benefit when a company grows, is acquired, or goes public. Cuban argues wages alone cover immediate expenses, while equity creates long-term wealth. The philosophy applies whether employees receive stock through their employer or investors back private companies they believe will become market leaders.

Final Thoughts

Cuban’s proposal uses tax policy to align executive and worker interests through equity sharing. The math is simple: if CEOs get 10% of pay in stock, so should janitors. Whether regulators adopt this approach remains unclear, but the wealth gap data supports his urgency.

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