Capitalism is a ruse
Re Starting salary for top CEOs? $2,489 an hour, Wells, Jan. 2
Kudos to Jennifer Wells for exposing the other side of the coin. The sadness of the headline is that we have all accepted and internalized the bizarre logic of capitalism and can see no way out. We read the article and then move on.
The logic of a free market is to convince everyone that extreme wealth is good and necessary, so extreme relative poverty must be its alternative. But even here, there is deception. This is reflected in the salaries of CEOs and of the minimum wage for workers. The $14 minimum wage is held out as either a pariah or a godsend.
The business community warns of job losses while it pays its CEOs handsome salaries and perks. But if paying a living wage is that critical, businesses that are stretched so thin should close their doors. The whole point of business is not to create wealth for the business but also a good quality of life for workers.
If businesses cannot pay good living wages, health care, pensions and other basic aspects of daily living, they should not be in business. It’s a false capitalist logic to say we can only operate on minimum wages while profits are booming and the senior suite is golden.
CEO salaries are the same. They have increased every year for the past 40 years while workers’ wages have remained stagnant. Everyone knows this lie. The Credit Suisse Global Wealth Report (2016) noted that the top 1 per cent owned more than half of the worlds’ assets and the bottom half owned virtually nothing.
The real irony is that taxpayers are paying for the minimum wage and CEO increases. The federal government is cutting small-business taxes by 0.5 per cent immediately and another 1 per cent cut is coming. They have also modified the corporate tax penalty on small business to make it non-existent. Provincial governments have chipped in cash to ease the transition as well.
But still the wailing and gnashing of teeth goes on in the business community. So stop the whining and change the system. Robert Bahlieda, Newmarket