Bosses seek 30% salary hikes as Osborne £12bn cuts on low-paid

You can always trust Britain’s pampered corporate bosses to express their greed at the most inauspicious moments, but to do so when Osborne is set for the most inequality-expanding budget in living memory at the expense of the poor is insensitive even by their standards.   The heads of Britain’s biggest companies already make more in a day than a worker on the minimum wage in a year.   Yet now they’re demanding 20-30% increases in their basic pay because the EU has placed a cap on bonuses at 200% of the basic salary.   They also object to bonuses being withheld for longer periods (3 or 5 years) as a check that the bonus was properly earned and not just a device for topping up basic pay.

In the late 1990s the average FTSE-100 CEO took home about £1m (£19,230 a week).   Now, less than two decades later, it is 5 times that level (£96,154 a week).   At roughly £20,000 every working day, that is one-and-a-half times what an employee working 40 hours a week on the minimum wage earns in a year.   It’s not as though the uplift on top pay can be justified on any capitalist metric.   Between 2000-13 bonus payments at the top 350 UK listed companies increased at twice the rate of earnings per share and company profits.   For CEOs’ long-term investment plans the rationale is even weaker.   Only a quarter of the annual change in pay to executives could be attributed to a rise in earnings per share or total shareholder return in any year in the decade to 2013.

Yet in that same decade average wages are still 6% lower at the end than at the beginning. The budget is now set to exacerbate this unjustifiable chasm still further.   The big cuts in working tax credits will hit millions of the lowest paid workers in poverty.   Britain already has the highest proportion of low-paid workers (i.e. about a fifth earning less than two-thirds of median earnings, which is the OECD definition of low pay) of any advanced industrial nation (including Japan, Australia and Germany) except the US.   Osborne wants, he says, to increase low pay, not by making employers pay the living wage, but by cutting their taxes.   But a fifth of them earn so little that they don’t pay tax now anyway, and even if they did, cutting tax levels at the base benefits the high-paid much more than the low-paid.

Yet another gratuitous and provocative giveaway to the very rich will be Osborne’s raising the inheritance tax threshold to £1 million – a tax break limited to to just the 6% richest families in Britain.   And another kick in the face for low-paid workers in poverty is the report by the Competition and Markets Authority that the Big 6 energy companies have not been colluding to drive up profits, so there is no case to break them up.   And thus it goes on and on.

10 thoughts on “Bosses seek 30% salary hikes as Osborne £12bn cuts on low-paid

  1. Let them eat cake the peasants exist on minimum wages yet the top dogs wants more when will that ninty nine percent who aint rich wake up to the fact that they taking the p in every way austerity wasnt for them but us the poor welcome to modern britain were the two main partys are clones of one another till that day the peasants rise and show them no more whilst jr the ex oilman in the lords sups with these devils forgeting his flock left to the great cull jeff3

  2. Jeremy Corbyn (as well as many other MPs, including our Mr Meacher) would like to see a fairer and more equal society. I do hope that people will vote for him in droves, in the leadership contest.

    Many people still don’t realise that even those who are not members of the Labour Party can vote (provided they’re not members of any other party). All they have to do to register is text SUPPORT to 78555. A £3 fee will apply, unless they’re members of certain unions.

    Please spread this around.

    In the meantime, millions of vulnerable people are quaking in their boots at what’s in store for them in the Budget. Some are already in dire straits and just can’t take any more, but due to cuts, there’s no help available to them. What are they to do!?

  3. Nothing new here. These are symptoms of a sickness whereby a nation rots from the “top” down. (I use the word top advisedly).

    Here is one reason why:

    http://www.ukcolumn.org/article/constitutional-conundrum-question-consent

    Consent is such a delicious, yet ultimately elusive concept. How to we consent? When? Too, more importantly by a mile, how do we withdraw consent when our “rulers” (there are no leaders) become criminals and international vandals?

    Our jaded and hubristic corporate plutocrats will sink back into oblivion when functional consent based government is restored and the Central bankers are eating porrage. We must restore proper constitutional rule. The administrative Roman Law is not lawful in this country.

  4. Hum do you realise that three pound fee is way out of many way has they exist on meager money are we now at that vote for money funny id thought voting is freee it seems thats not the case jeff3

  5. Substitute the phrase; grubby, thieving and lying MPs for, “pampered corporate bosses,” and there is absolutely no difference in the sense or the truth of you observations.

    Also, “Britain already has the highest proportion of low-paid workers of any advanced industrial nation (including Japan, Australia and Germany) except the US.” This is not accidental and is a deliberate policy of, for want of better term, the intentional and premeditated Americanization of British society as it has been inflicted on countries throughout the third world for the last 50 years.

    As far as the authors of this policy are concerned this isn’t a problem any more than it is in the states or at least not for them or anyone they know personally it a massive success.

  6. What happened to democracy, this word will soon be deleted from the Oxford dictionary as it no longer exists.

    Abba said it all in one of there greatest hits. “Money Money Money, it’s a rich mans world”

    Followed by a Steve wonder hit “heaven help us all”

  7. Jeffery Davies-

    As for the £3 fee I fully agree which should have been waived for anyone on benefits or low income, I’ve paid mine anyway and I intend to vote for Corbyn even though I don’t expect him to be game changer that everyone is hoping for. If he was really that much of threat to Labors status quo they’d have quietly purged him years ago with all the other socialists, I fully expect that the loathsome Tory Burnhan will win and that labor will then have become a completely irrelevant club for NHS and local authority managers, charity bosses, overpaid Union staff, academics and teachers etc and as completely unrepresentative of; and divorced from; the lives and interests of the voters in their way as the Tories.

  8. Exactly there are to many blair babies to leave him go left to much to lose have they its unbelievable that people get their hopes up has he wouldn’t be allowed to go far left greedie mps untill the people show them and have the real labour stalwarts party then more the same to come im afraid jeff3

  9. JP & Jeffrey re Jeremy –
    Should he become leader then he’ll get to choose his own shadow cabinet. Seeing as he’s going back to the original principles of Labour there should be enough like minded MPs for him to chose from. I believe the new intake also contains a number of real socialists, and who are untainted by Blairism.

    In the meantime, both Andy Burnham and Yvette Cooper have started repeating some of the phrases Jeremy Corbyn has been using in his hustings, some of which contradict what they said in the first few hustings. I’m not sure if they’ve changed their minds or are just trying to please the crowds who booed them whilst applauding. Seems disingenuous and untrustworthy to me, something Jeremy Corbyn isn’t. People do like him and what he stands for. We’ll just have to wait and see what happens.

    Do encourage other to register and vote for him.
    It’s an amazing opportunity which could result in making a real difference.

  10. We wait and see but cannot like you have this faith in him has this culling of the stock happens on their watch many being quite on it many taking no notice of it allowing this criminals incharge to carry on with it I cannot fault you in your faith but mine and many others has been grounded into dust has of whot they all allowed to happen through greed jeff3

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