In support of the move in spirit, but: Any ideas to prevent a company from circumventing this via dummying up contractor firms? Eg, “We employ this software company started by our founder to write our code. Coincidentally, their pay is .1% of the pay at Microsoft”
Like any proposal you would have to word it in a way that minimizes loopholes initially, as well as muster the political will to close any new loopholes that come up.
Off the top of my head, you would probably want to use averages in some way. Perhaps use the median income of the bottom 20% of domestic wage earners in a given company, with some sort of multiplier or additional penalty for offshore employees. You would also want to ensure all forms of executive compensation like bonuses and stock options are included in the equation.
There’s probably more you would need to include but those 3 things would minimize the most obvious loopholes I can see.
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In support of the move in spirit, but: Any ideas to prevent a company from circumventing this via dummying up contractor firms? Eg, “We employ this software company started by our founder to write our code. Coincidentally, their pay is .1% of the pay at Microsoft”
Like any proposal you would have to word it in a way that minimizes loopholes initially, as well as muster the political will to close any new loopholes that come up.
Off the top of my head, you would probably want to use averages in some way. Perhaps use the median income of the bottom 20% of domestic wage earners in a given company, with some sort of multiplier or additional penalty for offshore employees. You would also want to ensure all forms of executive compensation like bonuses and stock options are included in the equation.
There’s probably more you would need to include but those 3 things would minimize the most obvious loopholes I can see.