4 ms·
That's a strawman; I never said it was wrong to ask. Anyways... The company should have invested more of their marketing budget in R&D and produced quality ca
by fallentimes 18y ago
That's a strawman; I never said it was wrong to ask.
Anyways...
The company should have invested more of their marketing budget in R&D and produced quality cars. Empirically (consumer reports, Car & Driver, et al) U.S. cars have been subpar compared to their foreign counterparts for many years. Though some of my friends & family insist they're rapidly catching up nowadays. In the present, I don't know one way or the other.
In the States' current system, the company doesn't have any obligation to share high earnings with their employees. They have an obligation to deliver profits to shareholders - that's it. If the employees don't like it, they can get another job that pays them market wages or treats them better. In short, that's the best part & worst part of the system. Paying employees above market wages is not sustainable.
In the short term, companies can unfortunately deliver profits to their shareholders with shady tactics, breaking the law, gray area revenue recognition, poor employee treatment and "earnings management". In the long-term, that doesn't work and is stupid. And many times it's against the law.
It's not a coincidence that the companies that treat their employees the best outperform the market. [1]
[1] http://www.greatplacetowork.com/great/graphs.php http://www.greatplacetowork.com/great/graphs.php
- dionidium 18y ago"The company doesn't have any obligation to share high earnings with their employee. " I never suggested that they do. In fact, I think I rather explicitly argued that they paid those wages because it was the best deal they could negotiate at the time. If they could have negotiated a better deal, they would have. More generally, if I agree to do a certain amount of work for a certain pay, it does not imply that I deserve that pay (whatever that means). But surely it means that the person paying me thinks that wage (considering the alternatives) to be in their best interest. "If they don't like it, they can get another job that pays them market wages or treats them better." Or collectively negotiate better wages?
- fallentimes 18y agoRight, but you asked why they didn't. If they collectively negotiate above market wages the company will die in the long term.
- Dilpil 18y agoIt's not a coincidence, indeed, it is a logical inevitability: it is far easier to treat your employees well if your company is successful.
- mbreese 18y agoBut it's also true that happy workers are more productive, healthier, less likely to quit, and thus will make the company more successful.