It is a good thing if senior management workers in a company get a much higher salary than other workers in the same company. Do you agree or disagree?
ESSAY #10 FROM OUR BOOK
It is believed by some that there are benefits to senior management being paid substantially more than lower-level employees. I also consider that paying significantly higher compensation to senior executives is not only justified but also beneficial for the company.
There are many reasons why higher salaries to executives and CEO’s is actually beneficial. To begin with, I believe that as pay differences between job levels increase, the value of receiving a promotion also rises. In other words, if the person above is making a lot more money, the other employees would work harder to get promoted to get the same salary. This in turn would increase the company’s overall productivity.
Secondly, the higher salaries are justified because today’s senior management’s role is much broader than simply running the company. For example, today public relations skills need to be significantly better, as the cost of even a minor slip-up can be catastrophic. Similarly, due to globalisation, supply chains of companies are spread out across countries and knowledge needed to deal with them is unending. In fact, the mental stress and challenges that senior level executives face today in itself is reason enough for the high salaries they are paid.
Additionally, the higher-level executive officers have to take accountability for not only their actions but also of all employees under them. To cite an example, recently the principal of school in Delhi was fired for the untoward actions of a teacher towards one of his students, even though the principal was not directly involved and had no knowledge about it. Thus, higher salaries to executive officers are not unwarranted.
To sum up, although some people may consider the high salaries to top level management to be unfair, I find them not only acceptable but also well deserved.
