Companies should have a larger responsibility than making money for investors.
If ANY company in the world fits that description it’s Disney. One look at an annual report will tell you just how much so.
Companies should have a larger responsibility than making money for investors.
Companies should have a larger responsibility than making money for investors.
Here's your basic case study: Costco https://www.fool.com/investing/gene...wal-mart-higher-wages-mean-superior-retu.aspx
In situations where brand loyalty depends heavlly on satisfaction with the customer experience, case studies have shown that higher pay for line employers usually increases profit margins.
It won't hurt my feelings if someone corrects my math but according to the article, the top six executives combined made $62 million in bonuses and the lower ten percent of employees consisted of 200,000 people.
If the top six employees give if half of their 62 million bonuses and give the money directly to the bottom employees, they wold each receive $155.
This is a non story to me.
Team Iger
So I'm guessing you don't own a business...
We co-own a business that is nowhere near as big as Disney but is successful and growing rapidly. My dh is always talking about how difficult it is to find good employees who can accomplish the specialized work his company does. Because of this, he and his business partner consider employee retention to be extremely important and treat their employees well. There have been times during economic downturns when they’ve gone without pay so they could pay their employees and avoid layoffs.
I think Disney is in a unique position. My argument is not only entry point jobs at Disney can pay as little as possible, it HAS too.
The idea is getting only the people who are willing to go through some time of low salary - necessarily lower than what the competition offers - in order to weed out those who jump ship for a better pay.
People who stay at Disney are people who care deeply about Disney. In return they get things out of their careers that they can’t get anywhere else.
You’ll find many policies at Disney align with this thinking.
If the top six employees give if half of their 62 million bonuses and give the money directly to the bottom employees, they wold each receive $155.
This is a non story to me.
Team Iger
Wow I'm not sure if i have ever laughed so hard, the bolded is way off base of the Disney of today. That is the Disney Abigail is ooking for.I think Disney is the very embodiment of the American capitalist dream in the best way possible:
a company that is extremely profitable due to putting values above money, and creates unparalleled value in every aspect.
At the end it all comes down to wehther you believe in the American way imho - if you think there should be any kind of limit on a man’s income, then... what can I say?
Personally I want whoever’s at the top of the Disney company to always be the richest person in the world.
Team Iger all the way
I think Disney is in a unique position. My argument is not only entry point jobs at Disney can pay as little as possible, it HAS too.
The idea is getting only the people who are willing to go through some time of low salary - necessarily lower than what the competition offers - in order to weed out those who jump ship for a better pay.
People who stay at Disney are people who care deeply about Disney. In return they get things out of their careers that they can’t get anywhere else.
You’ll find many policies at Disney align with this thinking.
Total employees is 200,000, which would mean the 10% she's talking about is 20,000 people, thus $1,500 a person.
Still not enough to offer, as she's quoted as saying, "a ticket out of poverty or debt". Not that the lowest paid employees would mind an extra $1,500.
Obviously you haven't ever been poor. $1,500 is the difference between say kids getting Christmas and birthday presents or not. Or being able to buy a car or not.
Is it going to get them all the way out of debt, again no but it can actually make a huge difference, and imagine both parents get that extra money.
It isn't the company you work for's responsibility to make sure you aren't poor- it is yours. If you feel cheated out of bonuses find another place to work. (I know, I know, it isn't always that easy. Well that is life- sometimes things aren't easy, you are't guaranteed easy.)
It isn't any company's responsibility to give you a bonus just because you make under a certain amount of money. You agreed to that salary when you took the job. You agreed to be paid X amount for X kind of work. If those terms didn't include bonus' then you don't get one. These CEOs negotiate their wages, they include bonus, that is why they get them, end of story.
The other interesting observation is that we as a society are heavily invested in the value and increasing value of stocks. Yeah a lot of lower income to middle income families are not in a position to buy and maintain their own stock portfolios but look at pension funds, 401(k')s, etc. They are heavily invested and heavily dependent upon stock value.
Disney's profits last year were crazy, especially considering they probably didn't pay taxes on any of it. Does Bob Iger work harder than the CM's in the parks? Our society is becoming very top heavy, and something needs to be done or things will fall apart. That's Abigail's point. If the workers can't make a living wage, and more and more workers are in that position due to debt, medical bills, student loans, falling real estate values etc, while the top 1% gets richer, things get bad.
Did no one here pay attention while watching Hunger Games?