retitled piece :
put in reason for 20% compensation cap. (end)
Cheers to President Obama for trying to clean out the dirty filthy upper class. (no it's NOT nasty to be there, but it IS nasty if they don't pay their fair share of taxes (see HERE).
I am glad that my idea that I first got (stated in December, conceived in August), where I say(at very end of post):
... Say a cleaning person at GM makes $20,000 per year (approximately $10.50 per hour) Will Rick Waggonneer agree to take NO MORE(total compensation) then $438,000 in compensation per year? Total Compensation, current and delayed, NOT just salary!!!That's REALLY only 20 TIMES the LEAST paid employee (or contractor) that a company has.
THIS is the REAL need.
WE need to have the IRS make a new compensation rule.
PROPOSED NEW IRS Regulation:Additionally, any company that triggers this new "ECT" tax will have EVERY executive audited to ensure that the new Minimum Millionaire Tax "MMT" is complied with.
Companies where the highest paid employees in the company make more then 20 times the salary of the lowest paid employee/contractor * will be required to pay a new "Excessive Compensation Tax" (ECT), which will be used to finance Universal Health Insurance for all. The tax will be computed as a ratio of the highest to lowest pay rates in the company.
If the Congress mandated a new IRS regulation for executive compensation, then the ENTIRE discussion goes away immediately.
'nuff said.
mark brown in NJ 2-5-09
--2-11-09--
The reason that I suggest 20 times the salary of the lowest paid employee/contractor is simple. using the numbers from the Rick Waggoneer example above (the janitor making 20K/Year) Rick would make ONLY $200,000.
This is so much lower (I believe a better number, but it's TOO severe for implementation today!) then the current standard of executive living, that 10% must be ruled too little a compensation point.
However, if you take 20 times the salary of the lowest employee, 20k per year, yields a 'more reasonable'** $400,000 per year income limit for executives in the corporation
* We need to include contractors, because otherwise companies will make everyone a contractor so the janitors will all be outsourced...etc...
** even this number is still to obnoxious for me to imagine!
2 comments:
more reactions, again from an anonymous reader:
1. "filthy upper class" reads like a screed. Did you mean to use such a pejorative word?
You do not have to insult in order to make your point. It will make your posting more reasonable.
2. ALL CAPS SCREAM. So you have a screaming screed. Try to limit caps until they're IMPERATIVE.
3. "my idea": I have to tell you that the idea of limiting executive pay has been around for a very long time. It's o.k. to say, "the idea of....which I first discussed in..." However, it's insulting to those of us who understand the issues for you to say it's your idea. There are many economic studies of the variation in multiples of executive pay by country. If I remember correctly, Japan has one of the lowest. Guess who has the highest.
Again I stand by my use of "MY ideas" I never said that I invented the topic, or have never heard it before.
HOWEVER, I say (and I make a CONCRETE PROPOSAL) to make this issue go AWAY!
I propose that a limit of twenty times the salary of the lowest paid worker become the maximum pay in ANY corporation.
Want to get an executive raise? raise your stock clerks pay too!
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