The top hierarchy at any organisation has higher salary in comparison to other employees. Some people argue that it is not a constructive step as it demotivates the other employees. But, I agree with the given statement.
The proponents favour that senior management employees have critical thinking which they developed over the years. They worked at different positions to reach there and gain different expertises such as administrative and managerial skills. With these skills, they can execute any proposal with ease as they can plan budget friendly proposal and a company can achieve its goal easily. For an instance, the recent data of big multinational companies Like Wipro, Maruti suzuki has shown that these companies achieve their tragets which are in billions with the vision of experienced senior applicants. Therefore, employers want to retain the skilled person at higher level by offering higher salary.
Furthermore, the other reason can be the initiation of a project and to bid for a project can only be done by experienced and quick decision maker people which are present at higher level. They do all the planning for budget and for other required resources like manpower and equipments. Alongside, they assign work to other team members with idea and way of doing it. This makes work easy for other team members as they do not have to worry about the overall outcome of the project. For an example, a recent data of luxury clothing brands in newspaper has shown that, the top hierarchy suffer from insomina as they have lots of work on table when a new launch of product is going to execute. Therefore, all headche is of team head for successfully pulling out a project. So, their salaries are also much in higher as compared to others.
In conclusion, higher management employees are responsible for the initiation of a project and for successful completion of a project. But, one can not ignore the coopertaion from other team members.