February 05, 2025, 07:16 AM
TigerDoreRandom thoughts on job cuts in 2025
I don't know that it is still in effect, but at one time, Japan had a 7 to 1 ratio that was law. The CEO could not make more than 7 times what the lowest paid worker in the company made.
I would never advocate for a state or federal law like Japan's, in fact I would be very much against the government intruding this way, but companies setting such policies on their own is not a bad idea at all. It may not be 7 to 1, and I don't know that there is one "magic" ratio, but creating some sense of proportion helps to create a team atmosphere, a sense that "we are all together" in this endeavor.
I say this from the position of management. I know that it does work, because I instituted it in my company. This isn't a magic bullet, many other factors go into creating a team atmosphere, but I believe this is a big part of it.
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February 05, 2025, 08:44 AM
YellowJacketquote:
Originally posted by TigerDore:
I don't know that it is still in effect, but at one time, Japan had a 7 to 1 ratio that was law. The CEO could not make more than 7 times what the lowest paid worker in the company made.
I would never advocate for a state or federal law like Japan's, in fact I would be very much against the government intruding this way, but companies setting such policies on their own is not a bad idea at all. It may not be 7 to 1, and I don't know that there is one "magic" ratio, but creating some sense of proportion helps to create a team atmosphere, a sense that "we are all together" in this endeavor.
I say this from the position of management. I know that it does work, because I instituted it in my company. This isn't a magic bullet, many other factors go into creating a team atmosphere, but I believe this is a big part of it.
.
A CEO over a company with thousands of minimum wage employees like WalMart or McDonalds? What about the CEO of Marriott which has a housekeeper making 28k/year?
For some companies, you're all in it together and the division of labor is not a huge gap. But for many companies, there is basically zero relationship to what management or C-level people do vs what service they provide and the people physically provide it.
February 05, 2025, 09:08 AM
rizzle22 million for that CEO in 2023 for Marriott, which included stock options, etc. Now, in 2024 there will layoffs to improve efficiency, to save 80 million. I dunno, seems like a lot of money per year for a company to pay someone, just my opinion, I could be wrong.
https://www.hoteldive.com/news...estructuring/733121/