https://www.epi.org/publication/ceo-pay ... mpensation.Using the CEO granted compensation measure, the CEO-to-worker compensation ratio rose to 236-to-1 in 2021, significantly lower than its peak of 393-to-1 in 2000 but still many times higher than the 44-to-1 ratio of 1989 or the 15-to-1 ratio of 1965. Changes in the composition of CEO compensation.
A major discussion and one of the common agreements upon most voters, particularly Bernie Sanders and Trump supporters, was the discrepancy between the pay of CEO's and the lowest wage worker. This has been out of control, and doesn't seem to be getting much better. I know of no serious plans to address it from either Party. However, Unions - much maligned by the Right for some reason, and generally supported by the Left seem to do exactly what each group of voters wants, to a small degree, and if Unions were constantly attacked by the Right, they'd be more effective.
After all, it appears the government isn't solving the problem - and the Right Wing doesn't like the Government solving the problem - but the Right Wing also doesn't like solving problems, apparently.
Unionization allows individuals to bypass the Government for help and petition their employers directly for fair pay. The Right seems to feel that anything that limits the employers ability to make maximum profit is detrimental to the economy, but meanwhile, the Right yells loudest about unfair pay.
They seem to think that lower taxes to their bosses means their bosses will give them more money (Trickle-Down Economics). This is demonstrably untrue as with tax cuts to the wealthy, they've simply increased their share of take-home pay.
According to the London School of Economics:
https://econ.lse.ac.uk/staff/spischke/un_ceo37.pdfWe find several results
generally consistent with our model. (1) Both a higher fraction of unionization in an
industry and region and a higher union wage differential are associated with fewer
managers. (2) Managers wages are about 5 to 7 percent lower in unionized firms.
(3) For CEOs the effects are larger: a 10 percent increase in unionization reduces the
pay of CEOs by 2.5 percent or more.
It's remarkable that the Right - which promotes personal Freedom, personal agency, self-reliance, etc. - tells the American worker to do the Christian thing and obey ones Master - all because of the Money. The precious economy. Whereas the Left seems to appreciate the balance of a good economy and dignity in the workplace. (The Left's appreciation and understanding can be seen from the strong economies that the Left has presided over for much of the late 1900's)
In fact:
But it's worse than that. It's not that cutting taxes didn't have any effect on whether CEOs would reduce their pay, it actually increased it and - of course - hurt the employees.As part of the Tax Cuts and Jobs Act (TCJA), the US Congress repealed a long-standing exception that allowed companies to deduct executives' qualified performance-based compensation in excess of $1 million. The purpose of this study is to examine whether Congress achieved its stated objective of reversing a shift in executive compensation away from cash compensation and toward performance pay, which Congress believed led executives to focus on short-term results rather than the long-term success of the company. Across a battery of tests, including a difference-in-differences design that exploits the staggered time-series implementation of the deduction limit, we find evidence compatible with the new deduction limit having no effect on executives' salary, performance pay or total compensation, inconsistent with Congressional intent. Our results suggest that taxes are not a first-order effect of executive pay and that tax regulation could be relatively ineffective at curbing executive compensation.
Read through this:
https://ips-dc.org/11-charts-on-taxing- ... porations/
So, I'm not clear on why the Right Wing and Republicans in general still persist in lying to their base that tax cuts are the solution - but since they are clearly not - why isn't the Right Wing encouraging people take matters into their own hands and form Unions? Instead, the Republicans have been known Union busters - despite it proving to do what they want it to do: decrease the CEO-Worker Pay Gap.
Can a Conservative, Right Winger or Republican please explain their economic ideas?
