TheRealMafoo said:
Now, a socialist would think, “if all 5 people were doing the same basic job, pay them all the same”. Why pay the GM so much more then the rest. The reason is output. If there was no reward for busting your ass, people would not do it. If they all made 60K, why work hard enough to become GM's.
Here's the real problem... if they were not working so hard to get that job, the quality of the work they did do would be less. If those 5 did not work hard at hiring the right people, buying the best food, building the right marketing campaigns, filling in for cooks or wait staff because they were short, making sure the bathrooms were clean, greeting customers to make sure there experience was tip notch, and so on, the business would have suffered. If they were not working so hard, the restaurant might have only brought in 1.5 million a year.
If the owner is only paying 10% of gross for there salaries, and now business has dropped to half because the restaurant is not what it used to be, he can only afford to pay each manager 30K a year.
So while they are now all “fair” by a socialists standards, every one of them loses income. Not only do they make less, any chance of becoming the guy who makes a lot is gone. There future is set.
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But if the socialists work harder they also get paid more. So there is reward for busting your ass. So why wouldn't the socialists work hard?
In a socialist system, 4 out of five people get paid more. Thats what your story told me.