Two points: "Management" is not a monolithic institution and the president of Sears does not assume responsibility for the president of Penny's. Most of the people saddled with S-O are honest people who are paying a price for the dishonest ones.
The second point is that you have not addressed the question of what the total cost burden is of S-O. Do you know? And, if not, how are you judging it?
-- Ed Huntress
If you have some measure of the costs and benefits, other than what you find annoying, I'd be all ears. If not, you're just bitching over something you haven't bothered to weigh or to think about.
-- Ed Huntress
For my colleagues and I (the entire IT department of the English part of a French company that does some business in the USA) it was an average of seven working days last year. Call it 2 1/2% on our employment costs :-(
Mark Rand RTFM
Ouch.
Well, I started by doing a search on _The Economist_ website, read for an hour and I found that, like most things that are too complicated to discuss over a cracker barrel, this is a tough one.
I was cheering when S-O was passed because I was getting outraged at all the corporate-executive fraud and theft, but I'm trying to look at the issue with an open mind. I think I'd have to know more about what really goes on in corporate boardrooms to have a worthwhile opinion. It stinks, but so does a really good cheese.
-- Ed Huntress
========= With S-O, American corporations are reporting record profits.
It is unclear if S-O is causing the record profits by forcing management to watch the till, or if it is causing the record profits by requiring all the profits to go into the till by preventing skimming by management.
Now if we can just get a law passed requiring dividend distribution based on claimed earnings, with an optional DRIP [dividend reinvestment program].
Another thing to shoot for is a law limiting total annual executive and board compensation to not more than 10X that of the President of the United States.
Unka' George [George McDuffee] ............................... On Theory: Delight at having understood a very abstract and obscure system leads most people to believe in the truth of what it demonstrates.
G. C. Lichtenberg (1742-99), German physicist, philosopher. Aphorisms "Notebook J," aph. 77 (written 1765-99; tr. by R. J. Hollingdale, 1990).
Damn George, I always liked you but now I'm feeling all misty eyed and in love. :) THAT gets the vote for the best idea for a law I've seen this decade.
Mike in Missouri Hroller McKnutt Pornstar, Mad Scientist, Genius for Hire Girls chased and caught!
Any CEO that isn't worth 20x the current White House occupant doesn't deserve to live ;)
=========== What a person is worth and how much they are paid are [or at least should be] two different things.
Unka' George [George McDuffee] ............................... On Theory: Delight at having understood a very abstract and obscure system leads most people to believe in the truth of what it demonstrates.
G. C. Lichtenberg (1742-99), German physicist, philosopher. Aphorisms "Notebook J," aph. 77 (written 1765-99; tr. by R. J. Hollingdale, 1990).
They run the place from the shadows. The President would simply get a substantial raise and status quo would resume...
Things will change when a majority of people begin taking PRIDE in doing a good job and not by how much there palm is greased.
If people would only refuse to work and/or buy from these places they would cease to exist. Ain't going to happen though...
Any CEO that isn't worth 20X _any_ current White House occupant doesn't deserve to live. ;)
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