Set an Earnings Ceiling: The Path to More and Better Jobs
We can end the cycle of the rich getting richer and the poor getting poorer, and in so doing create more and better paid jobs.
Ben and Jerry's was starting out, it capped earnings for its highest-paid employees at five times the amount paid to its lowest-paid employees. It raised the rate overtime, and Unilever eliminated the earnings cap after its takeover of the company, but the example survives nonetheless.
Pett: The super-rich and everyone else
Wasserman: One man's income gap is another man's view
Anderson: As a statistical average, Americans' incomes are growing again
Adcock: 1% v. 99%
Handlesman: Don't look down
Today, executives get paid millions (
with the average CEO getting paid about $750,000 annually, not counting stock options and other bonuses), while many of their employees, in more physically arduous jobs, work for minimum wage.
Since the dawn of Reaganomics,
the average executive has gone from being paid 20 times the salary of the average worker to more than 230 times the average worker.
We need to restore a balance. If we cap the amount executives earn, then we can help reduce the earnings gap and help create a more equal society, as well as free up companies' payrolls to hire more workers and pay low-wage workers more. It's win-win-win.