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- W3125588563 abstract "Wage disparity between workers in the same occupations and between senior managers and the rest of the workforce has become a defining issue for policymakers. The economic claims of capital and those of labor remain at odds. Business supporters argue that greater pay for the larger workplace will result in loss of employment, higher prices for products and services, and loss of competitive advantage in the global marketplace. Labor advocates respond that higher wages promote greater productivity, increase demand for goods and services, and facilitate the strengthening of democratic institutions. Neither side is persuaded by the other, and this has created an impasse with respect to federal intervention to moderate the effects of dramatic pay growth for senior managers and stagnant or declining wages for the larger workforce.This Article discusses the ideas and practices that have produced large wage disparities and the regulatory environment that has accommodated it. On the labor regulation side, the Article evaluates the National Labor Relations Act's (NLRA) approach to wage contracting, including its accommodation of right-to-work laws. It shows that the free-market wage policy of the NLRA is generally embraced by unions, although its effects may be more devastating than the NLRA's tolerance for right-to-work laws that unions condemn. On the corporate governance side, it shows that shareholders' interests rather than overall stagnant wages have driven regulatory attempts to curb excessive executive pay, and say-on-pay and new CEO pay disclosure regulations are not designed to address wage disparity. The Article argues that wage compression can be achieved through unrepresented worker protest and collective bargaining practices that link the plight of workers to the overall compensation practices of their employers. It proposes a revitalization of bonus and profit-sharing practices that reduce employers' long-term risks as a more viable collective bargaining strategy to reduce wage divergence while reducing the financial risks associated with fixed increases of wages and benefits." @default.
- W3125588563 created "2021-02-01" @default.
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- W3125588563 date "2016-01-01" @default.
- W3125588563 modified "2023-09-23" @default.
- W3125588563 title "Wage Compression as a Democratic Ideal" @default.
- W3125588563 hasPublicationYear "2016" @default.
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