In many countries, a small number of people earn extremely high salaries. Some people believe that this is good for the country, but others think that governments should not allow salaries above a certain level. Discuss both these views and give your own opinion.

People have different views about whether governments should introduce a maximum wage.
While
in some ways it may seem reasonable to allow the population to earn as much as companies are willing to pay, I personally believe that employee remuneration should be capped at a certain level. There are various reasons why it might be considered beneficial to allow the population to be paid extremely high salaries. If companies offer excellent pay packages, they can attract the most talented people in their fields to work for them.
For example
, technology companies like Google are able to employ the best programmers because of the huge sums that they are willing to pay.
Furthermore
, these well-paid employees are likely to be highly motivated to work hard and
therefore
drive their businesses successfully. In theory,
this
should result in a thriving economy and increased tax revenues, which means that paying high income benefits everyone.
However
, I agree with those who argue that there should be a maximum wage. By introducing a limit on earnings, the
pay-gap
Correct your spelling
pay gap
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between bosses and employees can be reduced. Currently, the difference between normal and top wages is huge, and
this
can demotivate workers who feel that the situation is unfair. With lower executive earnings, it might become feasible to introduce higher minimum wages, and everybody would be better off. One possible consequence of greater equality could be that poverty and crime rates fall because the general population will experience an improved standard of living. In conclusion, it seems to me that it would be better, on balance, for governments to set a limit on the wages of the highest earners in society.
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Topic Vocabulary:
  • incentivize
  • discrepancy
  • inequality
  • social cohesion
  • equitable distribution
  • wealth concentration
  • talent retention
  • global competitiveness
  • social unrest
  • innovate
  • government intervention
  • salary cap
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