24 Feb 2016 2:45:33pm
Multiple times the average, how many multiples are we talking about, 2, 3, 10?? Because the AWE is distorted by those on very high incomes as is the average net wealth, which is also distorted by debt and the fact that the vast majority of people st out with zero net wealth or even negative net wealth (HECS) once they st their ing lives.
You do ise that the majority of the rich pay the appropriate amount of taxes and it is only a minority who utilise the laws etc. The ATO has a compliance unit that targets HWI’s and ensures the 2600 HWI’s (Net ets of $30 million or more) are paying the appropriate taxes along with keeping an eye on those approaching these levels.
The case of CEO’s has always been contentious. They are a small minority of professional CEO’s but quite a high percentage are the people who sted and built the iness from scratch, ie obs, Gates, Slim, Knight, Dell and Bran. Even the evil Murdoch built his own empire after sting with one run down spaper in little Adelaide.
For most professional CEO’s, it is the pinnacle of their eers to reach that level as nearly every single one who didn’t own the iness, sted lower down the food chain and didn’t st their eers as a CEO so they in when they have the opportunity as would every sane per I know, even the insane ones too.
The power a CEO has is granted to them by the owners of the company, either it is a te company or a listed company where it is the share hers. As share hers are ultimately the owners of the company, it is a CEO’s legal responsility to look after the interests of the share hers. Now there is a distinct incestuous relationship between the boards of directors who oversee the setting of executive salary packages and CEOs as many have a finger in each pie. Rather than picking on CEO’s, shouldn’t the Boards of directors cop more flak as they are the ones setting the scale of salaries.
Even though, not defending them as I am just a poor baggy ar$ed Senior Constable still ing with the , I can see why sometimes their salaries can be as high as they are. This is due to the scale of their responsilities and accountalities.
For example, the CEO of BHP-Billiton is responsible for an organisation that has more ets, has as many employees and produces a profit which is larger the entire budget of the South Australian Government’s entire budget. So what would be a fair remuneration package for such responsilities and accountality.
Most of the rich people are not considered employees and are the owners of inesses which are the bulk of their wealth. If Microsoft went down the gurgler and suddenly became insolvent and went t, Bill Gate would go from llionaire to someone who has a nice expensive house and a few other ets. Same as Gina, all her wealth is up in the value of the iron ore she hs the rights to mine. It does
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