The News In Shorts

How the news would look if everyone stopped waffling and told the truth.

Saturday, 12 May 2012

No Link Between Executive Pay And Company Performance

A report commissioned by BBC Radio 4's More or Less programme has conclusively shown that there is absolutely no connection between executive pay and the performance of top companies, either here in Britain or in the United States. In other words company executives on average bring nothing to the party and are paid huge amounts of money for doing nothing in particular. This seems to defy common sense until you have a close look at how the pay of these spivs and conmen is calculated. Essentially they get their mates - other overpaid executives - to fix their pay, while ordinary shareholders are effectively sidelined by corporate shareholders run by those same executives. Worse yet many companies are fearful that, if they fire their useless executives, share prices will fall damaging the company even more. Cosy isn't it? In the last 30 years these corporate vultures have turned the cut and thrust of capitalism into little more than a safe, risk-free gravy train, for them at any rate, and changed corporate survival of the fittest into survival of the greedy. These people like to see themselves as heroes, as ruthless captains of industry. The truth is that many of them are the corporate equivalent of benefit scroungers with little ability beyond milking the system and with absolutely no intention of ever doing an honest days work.

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