Share the profits! Why US earnings are at record highs, yet American wages remain stagnant. History offers an explanation for this disconnect.
According to data released this week by the Commerce Department, the US economy has been growing at a rate of $170.4bn. Other top Amazon executives hold hundreds of millions of dollars of shares. However, the majority of Amazon’s workforce, including those in warehouses, have not benefited from this prosperity.
Amazon previously distributed stock to hundreds of thousands of its employees. But if Amazon’s $350,000.
The American trend of rising profits, climbing share prices, and ballooning executive compensation coupled with stagnant wages is unsustainable from both an economic and political standpoint.
Profit-sharing offers a potential solution. But how can it be incentivized? We should lower corporate taxes for businesses that distribute profits among all their employees, while increasing the tax burden on those that choose not to.
Distributing profits to the entire workforce is a logical and essential move toward ensuring the economic system serves the many rather than just the few.
