Companies tend to try to pay their employees as little as possible without killing morale and suffering high turnover. But when those employees are executives (and execs are in shareholders’ employ as much as the lowliest prole is) the idea becomes: Make sure they make as much as their peers, even if the company’s going downhill.
Why’s that? The Washington Post, in the latest installment of its excellent series on executive pay as a key driver of soaring inequality, looks at how corporate cronyism is at the heart of why CEO paychecks have ballooned over the last few decades.Read it all right here