There is a debate over whether it is necessary for directors of large companies to earn much salaries than ordinary workers or whether this is unfair. In my opinion, although directors earn higher salaries because of their grater responsibilities and the impact of their decisions, the gap between their salaries and those of ordinary employees should not be excessively large.
One reason why directors deserve high salaries is that they shoulder far greater responsibilities than ordinary employees. Their decisions make the company successful or unsuccessful. They always have to think about profits, budgets, and company’s reputation. They sometimes spend whole days in company, at work, and they don’t have much time for their family. In addition, they manage hundreds of employees. For example, if a director makes a right investment or business decision, the company can increase its profits and create mor job opportunities. Conversely, poor decision can result in substantial financial loss. That’s why, for this position, they usually need have years of experience and exceptional leadership skill.
However, an excessively wide salary gap can have negative consequences for both employees and the organization. Besides directors, ordinary employees also contribute to the company’s success and reputation. Meanwhile, a huge pay gap can reduce workers’ motivation and job satisfaction. For instance, if directors earn hundreds of times more than their employees, workers may feel undervalued and become more likely to the company. Companies perform better when its workers believe they are treated fairly.
In conclusion, while directors should receive higher salaries because of their responsibilities and expertise, the difference between in pay should remain reasonable to ensure fairness and maintain employee motivation.