Pay incentives for the chief executives of the biggest publicly-held fossil fuel companies in the U.S. are worsening climate change by encouraging recklessness from management teams and rewarding companies' strongholds over oil, gas, and coal reserves, according to a new report published Wednesday by the Institute for Policy Studies.
Corporate directors are legally obligated to externalize costs and maximize (short term) profits - regardless of the obscene heights to which their salaries rise for efficiently managing rape and pillage. If they accommodate any considerations other than profits in their planning, they can be sued and deposed by shareholders.
It would be a good thing to reverse our plunge into shocking levels of economic inequality - but limiting corporate salaries would not reform destructive corporate behavior. The corporate system itself is programed to inevitably kill us.
“Legally obligated to maximize profits”
That is a myth foisted upon the public. There is no legally binding requirement. And I should know working in the belly of the beast.
True, but the killing process would also consume them at some point…no clean water, no clean air, no food and no amount of money spent to build their special enclaves (biospheres perhaps) could stem the tide of destruction. Soylent green would also run out…
Capping their salaries as do other “industrialized” nations such as our ally, Japan is a place to start. There are several other changes that need to be made such as prevention of mergers that create mega-monopolies; changing the tax code to force corps and their executives to pay taxes; disallowing the sequestering of funds in offshore accounts; making all major corporations employing 200 or more people pay a livable wage ($15/hr or more)/provide medical insurance/retirement benefits; regulating the stock manipulation schemes in such a way that subterfuge is prevented; taxing offshore operations of U S corporations/companies; making companies pay for any and all environmental destruction left in the wake of their negligence. Never happen in my lifetime.
People from the “belly of the beast” routinely dispute the clear fact that US case law in shareholder lawsuits has firmly established this principle. For instance, you can investigate eBay v. Newmark:
Having chosen a for-profit corporate form, the craigslist directors are bound by the fiduciary duties and standards that accompany that form. Those standards include acting to promote the value of the corporation for the benefit of its stockholders.
Also see The Best Interests of the Corporation by Robert C. Hinkley.
I would like to hear a candidate say that he or she will end fossil fuel subsidies.
Prolonged misery perhaps?
Issues such as this, involving tax payer monies, especially for such A critical situation as Global Warming, Ideally would be decided by A Tax Payer “Referendum” and not A decision by the usual suspects of this deceptive “Democratically Representative” hoax called Government- This Bull Shit needs to change, for the people’s interests, in no way, what so ever, are being Represented…
The plastic manufacturers and their Big Oil suppliers comes to mind here- Islands of Plastic in our World’s Oceans, and gee, nobody is responsible or knows what to do about this ever growing problem…
Poe’s “The Masque of the Red Death” comes to mind. But I doubt that they would be last. Their hand-selected paid minions would turn on them in the end. Another piece of literature comes to mind: H.G. Wells “The Time Machine.” I can already hear the servants of the .1% chanting “Eat the rich.”
Sometimes I believe that the purpose of organized religion was just this, to keep the poor from killing the rich…
And yes, I agree, Poe wrote one hell of A good lesson/story with “The Masque of the Red Death”-