Contents
- With poor treatment, there will be a shortage of workers
- Business is driven by the coming quarter's earnings
- Stakeholder capitalism according to the Business Roundtable
A labour scarcity might be great for the
economy! Maybe, just maybe, businesses will realise how important
employees are to their success. Contrary to many frontline employees who
provide value, some CEOs accept outrageous amounts of money and ruin
the value of their companies. When employees were put off during the
epidemic, Executives collected enormous amounts of money. Even when
several businesses filed bankruptcy protection, their avaricious CEOs
continued to pocket large bonuses.
Because of the labour
scarcity, businesses are vying for the services of everyone who is
available. Various companies have given signing bonuses, including
McDonald's. As the epidemic started, Canadian companies Loblaw and its
rivals gave bonuses to front-line employees. After three months, they
discontinued it in line with their rivals. When the authorities
questioned them about the collaboration, they said it occurred on its
own. Why, yes! As when your three-year-old was found with her hand in
the cookie jar and informed you that "Cookie Monster did it,"
With poor treatment, there will be a shortage of workers.
I
find Loblaw's actions disturbing. The bonus period saw a huge increase
in earnings. It itself is not an issue. I support profitable companies.
Yes, I oppose the government taxing businesses' earnings. Paying bonuses
to employees during the epidemic shouldn't depend on business success,
however. That was perfect. As we were shopping, the employees at a
Loblaw store continued to provide us with wonderful service despite
Loblaw's affront.
Frontline employees are the backbone of the
company, therefore managers must treat them appropriately rather than as
machines that produce CEO compensation. Workers get disengaged when
their bosses treat them like machines. It was discovered that there was a
considerable correlation between the workers' job satisfaction and the
company's overall success. Employers, however, do not accept this. The
good news is that certain businesses, like Cisco, Apple, Accenture, IBM,
and FedEx, are breaking the stereotype and treating employees with
respect, according to polls.
Business is driven by the coming quarter's earnings
Businesses
manipulate figures for the next quarter because they see it as the
prize. I'll say it again: I oppose corporate taxes. Even though it may
only have a little impact on share buybacks, I support the Biden Build
Back Better provision to tax share buybacks that the House approved and
is now before the Senate. Corporations shouldn't be spending billions
buying back shares while abusing employees.
Companies should
provide choices for using repurchase cash at shareholder meetings.
Options might include the results of giving frontline employees
incentives using repurchase money. Investors should also be informed
about prospective strategic investments. An other option is to halt
buybacks for five years after layoffs. Bonuses for executives should
also not be given out within five years after layoffs. Worker abuse must
end since it increases CEO pay.
Stakeholder capitalism according to the Business Roundtable
The
Business Round Table (BRT) came to the realisation that a corporation's
primary goal is not to maximise shareholder value in 2019. It claimed
that the 1980s' measurements were incorrect. "...those who came up with
the platitudes and those who went about with greed.
Let the
labour scarcity persist! It may have the power to remove CEOs from
businesses that are narrow-minded, avaricious, and inept. Some supply
chain disruptions will result from the shortage, but if employees are
given the freedom to be creative, these problems will be resolved. Would
enough businesses choose to give up the quarterly rat race and focus
instead on creating strong companies for the long term?
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