MoneySaving Poll: Should the UK impose a maximum cap on salaries?

Gavin83

kathrynha wrote: »

Might also need a rule in there about contracted out work too. For example if you contract out your cleaning, those cleaners wages should still be included in the calculation.

I'm curious how you'd suggest this would work considering the company wouldn't be setting the salary for the cleaners and have no control over this. Or even how the company would know what the cleaners were paid.

Anyway I think it's unworkable and a bad idea for everyone involved. I can guarantee the one thing it wouldn't do and that's increase the wages of those at the bottom.

One-Eye

It's absolutely unworkable.

With which boss do you want to compare wages and work out a multiple?

As an example, take cleaners on Virgin Trains East Coast (VTEC) - ie. those who keep the floors of the trains nice and clean for Mr Corbyn to sit on.

Possible Candidates include:
VTEC CEO David Horne
Virgin Group CEO Martin Griffiths (VTEC is one of 30 or so enterprises in Virgin Group)
but Virgin only own 10% of VTEC, Stagecoach own 90%.
Stagecoach Rail CEO Tim Shoveller
Stagecoach CEO Martin Griffiths

Old Beardie (the Virgin one, not the Labour one) doesn't come into it. He isn't employed by Virgin and gets no salary (he owns it).

Another point is for those who have mentioned that when the CEO gets a rise then the workers should also get a rise to maintain the multiple. I suppose this means that workers only ever get a rise when the CEO gets one, and if the CEO gets no rise, or declines one, then the workers also get no rise?

mecoat

I think the fairest way would be to cap within a company - make it so the maximum earner can't earn more than (say) 20 times the lowest paid worker within the company (and they aren't allowed to use outsourcing (eg for cleaners), or sub companies to change the figures. This would encourage them to pay everyone more so they can get more...

Birdwell

mecoat wrote: »

I think the fairest way would be to cap within a company - make it so the maximum earner can't earn more than (say) 20 times the lowest paid worker within the company (and they aren't allowed to use outsourcing (eg for cleaners), or sub companies to change the figures. This would encourage them to pay everyone more so they can get more...

How do you define the limit of a company and its outsourcing ?
If two companies use one floor each in the same building, as the cleaner sweeps the two floors every night, is his salary based on 50% of the first company CEO's salary and 50% of the second CEO's ?

What about the postman, should he be considered a subcontractor of each company he delivers mail for? Probably not, but then what about online shops that depend on Royal Mail do business, should Royal Mail be considered a subcontractor for the purpose of computing the delivery drivers ? Or to take the "not allowed to use outsourcing" literally, should each online shop setup it's own parcel delivery chain?