In the fight for capital investment, CEOs invest in themselves rather than their companies. No wonder there is a major disparity of income. The workers on the factory floor take pay cuts and furloughs; CEOS take that savings and put it in their pockets.
CEO bonuses at 50 major corporations jumped a median of 30.5%, the biggest gain in at least three years, according to a study of the first batch of corporate CEO pay disclosures by consulting firm Hay Group for The Wall Street Journal.
When we speak to conservatives, they will tell you that those tax breaks create jobs. They will tell you that the “savings” in taxes will be used to hire more people, build new factories, buy more supplies or increase the pay of existing workers.
It seems to me that the CEOs are taking those tax breaks and shoving them in their own pockets. Profits in corporate America are at an 18 year high, yet many working class people are taking pay cuts. The Republicans do not talk about the disparity of income in this country, because they don’t care about it. In fact, it is their policies that have caused it.
Let’s take former Governor of Massachusetts and Presidential GOP hopeful, Mitt Romney, as an example of the conservative detachment from average folks in middle America.
Back in December of 2010, Romney wrote an op-ed in USA Today regarding the extension of unemployment benefits.
“unemployment insurance has many unintended effects. The indisputable fact is that unemployment benefits, despite a web of regulations, actually serve to discourage some individuals from taking jobs, especially when the benefits extend across years.”
Romney shows his distrust of the American worker. He believes that Americans are inherently lazy people. He believes that if we give help to people who have lost their jobs at no fault of their own they will stay unemployed until unemployment is about to run out. Given the depth of this recession extensions were needed, people have lost their jobs and are now being denied jobs due to the fact that they are unemployed. Over the last few years, in Romney world 4% of Americans became lazy. People that have worked their whole lives, including many white-collar employees, all of a sudden became couch potatoes watching Oprah and eating bon-bons.
The Romney solution is for working class people to contribute to an individual unemployment savings account instead of having a federal insurance program. Romney said,
“perhaps establishing individual unemployment savings accounts over which employees would exercise direct control when they lose their jobs…”
Middle class Americans have had the lowest economic growth over the last 30 years than they have experienced in a generation. They have increased their personal debt through credit cards and easy credit, established by Alan Greenspan in the late 80s. Romney is one of the biggest culprits in destroying middle class jobs. When he was with Baine Capital, he routinely bought struggling companies, busted them up and shipped them to low wage countries. Is this his economic stimulus if he runs in 2012?
Now this architect of falling America wants to make individuals take more money away from their kitchen tables and put it into a “savings account”? Many middle class Americans don’t have a savings account at all. We don’t have the disposable income to do that. Where is this money going to come from Mitt?
Mitt Romney is so wealthy that as Governor of Massachusetts he didn’t take a paycheck. It wasn’t because he’s a nice guy. It was because he used Massachusetts as an internship for the Presidential run. It’s really sad that as the fat cats get fatter, working class Americans are fighting over the scraps.
In 2010 the conservatives won across this country, by 2011 people are already having voters’ remorse.