Large companies should pay higher salaries to CEOs and executives compared to other workers. To what extent do you agree or disagree?

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There is a widespread opinion that large corporations should provide
executives
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with a higher compensation
level
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in comparison to ordinary employees. I do completely agree with
this
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statement and I believe that a
level
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of salary should reflect the essence of work, complexity of duties, and specialist's experience.
First
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of all, it is a definitely misleading task to compare levels of compensation of senior managers and other white-collar workers because of the difference in the everyday tasks, duties, and roles.
Executives
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are primarily hired to manage the
company
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, secure growth, and other challenges at the strategic
level
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, while the ordinary employees are working force and in charge of immediate implementation of the
executives
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' strategic vision and mission of the
company
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.
As a result
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, a CEO and an analyst face completely diametrically opposite tasks and levels of responsibility.
For example
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, an analyst has the right to make a mistake during his or her learning process, while the managing director's mistake could lead the
company
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to lose its market share or competitive advantage.
Secondly
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, people usually hired to be the
executives
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probably have already got extensive experience and become world-class specialists in their field.
Moreover
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, a leading position in the
company
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just requires a senior manager to be aware of the area where the
company
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carries out operations.
As a result
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, a high compensation
level
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just reflects the market price for that sort of professionals.
Finally
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, from the shareholders'
viewpoint
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,viewpoint
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it is more productive to hire and treat a CEO in the way he or she will be more willing to increase wealth and add value.
Moreover
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, the agent-principal problem from corporate finance theory provides insight that how well a
company
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will operate profoundly depends on the CEO and their desire to be compatible with owners' interests.
For instance
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, shareholders are interested in providing a competitive
level
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of remuneration to the
executives
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to secure that managers will work in the course of the creation of value and wealth improvement. In conclusion, it could seem rather unfair that
executives
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' salaries sometimes reach figures that are four to five times higher than ordinary employees', but at closer look considering how much pressure and responsibility they bear large wages and much larger bonuses seem to be a fair price.
Submitted by Anthony on

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    • Sentence 2 - Detailed background statement
    • Sentence 3 - Thesis
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    • Sentence 1 - Topic sentence
    • Sentence 2 - Example
    • Sentence 3 - Discussion
    • Sentence 4 - Conclusion
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    • Sentence 1 - Topic sentence
    • Sentence 2 - Example
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Topic Vocabulary:
  • executive compensation
  • income disparity
  • corporate governance
  • incentive structures
  • ethical considerations
  • competitive advantage
  • demotivation
  • pay structures
  • social inequality
  • talent acquisition
  • company culture
  • economic impact
  • leadership roles
  • employee morale
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