My Flag Flies Everyday
The Sunday May 24 edition of the Chicago Tribune ran an article titled, “Adding Up What CEOs Made.” The piece includes a list of the 100 top companies in Chicago and Northern Indiana, and the total compensation package the CEOs receive. Even though the title says “Adding Up…” it doesn’t really add it up. They only list 100 salaries, but I went to the trouble to input them into a spreadsheet to get the sum. I was curious to see what the flap is about the outrageous salaries being used to demonize Capitalism. The media has been busy barraging us with huge bonuses and salaries being paid. They bark the need for regulation. This is truly the output of a socialist mindset.
I was surprised by the total of the top 100 salaries, by the rate at which the salaries drop. Granted there isn’t a poor guy on the list, and the money they make in a year is more than most of us will earn in a lifetime. These CEOs lead companies that are producing and selling billions of dollars in products and services. Why is there such a penis envy of these leaders for their compensation? Are we envious? Do we want to lead the same life style they do? Do we want to work 24/7 to the detriment of our families? Why do we resent high salaries? The left leaning individual resents it because he truly believes the CEO and the company has made that salary off the sweat of his brow. Most employees will work forty hours per week at some incremental position stocking shelves or answering phones, or taking orders, but they are paid commensurate with the requirements of the position. What that employee doesn’t seem to understand is that his job is a commodity. There is a supply and demand for workers. The salary he is paid is competitive with other companies who need the same level of skill.
The liberal also argues that the wealth paid to CEO’s must be redistributed to those who are less fortunate. This is the reason for my article today. If we were to take all the money paid to the top CEOs in the country what magnitude of social spending would it pay for?
Here are some facts and assumptions:
1.) The accumulative salary paid to the CEOs of the top 100 companies in Illinois, as stated in the Tribune article, is $559,940,329.00. This is a little more than a half billion dollars.
2.) Assume that every state in the union has a list of 100 top companies whose CEOs are paid the same. For the sake of simplicity let me use round numbers (50 x $600,000,000) = 30 billion dollars.
3.) Assume that I am too low and I am off by a factor of 10, the number becomes $300 billion dollars.
Wow! that is a lot of money, but wait, the TARP cost over two times that much, the stimulus package cost over three times that much, and the proposed Federal Budget will cost over five times that much.
Here is my argument. We have just taken away all the money made by the top 50,000 executives in the USA and given it to the government to pay for it’s super duper programs, and we have barely paid for 11.4 % of it. Where will the remaining 88.6% come from?
Liberals don’t give up easy. They will argue that the remainder will come from taxing the companies that these CEOs lead. Okay, how many of these CEOs will work their ass off for $1.00? Even a liberal would have to agree that a salary of $1.00 per year would make life hard. Most likely, none of them would. They will quit, or let the company be run by the worker bees who believe it is by the sweat of their balls that the big money is made. (It will be interesting to see if the UAW can run Chrysler and compete in the world market.)
Actually, what will happen, is that none of the above will play out. The CEOs will continue to work for big money because that is the market value of their skills, and the Government will tax the living hell out of everyone to make up the money needed to implement thier utopian schemes. In the end, they will destroy the greatest country on earth and the deny the liberty of each and every one of us.
All of you youngsters out there who voted for “Change We Can Believe In,” have fun. I am near the end of my life cycle, and will not live to see too much grief. You are going to suffer long and hard for your decision to take the country into this devastating direction.
Filed under: Conservative, economy, Election, Government, liberals, Manufacturing, Motivation, politics, Society, Uncategorized | Tagged: capitalism, CEO, Change We Can Believe In, Chicago Tribune, Chrysler, federal budget, Life Cycle, Market, Regulate, Salary, Stimulus, TARP, Tax, UAW, Utopian | Leave a comment »
