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Yes, there should be a limit put on how much a CEO should make. No, this should not be a dollar amount. Let me explain. Businesses come in all sizes, so to put a dollar amount on this would be ridiculous. Instead, however, I feel that a CEO's salary should be based on a percentage of the company's income. There would be several benefits to this system.

Unfortunately, some CEO's seem to have stumbled into that title by some absurd mistake. If their salary is based upon the performance of the company as a whole, it ensures that the CEO is involved and cares about what happens in the company. It's kind of like paying salespeople on commission, if you don't sell, you don't get paid. The same should be applied to the CEO's of huge corporations.

The pay should be based on the company's net income. This would cut down on frivolous spending, because the net income is what is left after all the spending has been deducted. It would also increase morale and involvement in the head office, because the bottom line would be scrutinized more closely. Too many of these huge companies are showing an enormous net worth on paper, but when it comes down to it, there are no real assets. There is nothing there at the end of the day that equals "real" money. So, if and when the corporation folds, it's employees are left with nothing more than their hat in their hand. Any money that was made ends up lining the CEO's pockets in the way of severance pay and retirement funds.

If these positions were salaried based upon actual productivity rather than just the title, maybe fewer businesses would fail leaving their employees up the proverbial creek. Plus, maybe they would have people in charge who actually gave a damn. Make these people really earn those paychecks.

I understand that not all CEO's are crooks, but a new system may ensure that none of them are.

Learn more about this author, Brenda Adams.
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