Wednesday, May 21, 2008

EU to send companies abroad

Company bosses who pocket fat bonuses without reason are a "scourge" on society and could be tackled by losing their tax breaks, the chairman of the euro zone's group of finance ministers said on Tuesday.

Jean-Claude Juncker said ordinary workers were being urged to accept only moderate pay increases to avoid stoking inflation, which has hit record highs in the 15-nation area.

Company bosses do get too much money but the EU should keep out of it because it is none of their business what private businesses do. Companies pay a lot of money because they have to so that they can attract the best people to make their company better.

If the EU gets involved it will just mean that companies will go elsewhere and so will the talent. The bosses want to keep their money and they have the option of leaving Europe. Companies will follow the talent because there is no incentive to stay here.

If the public was actually concerned about what is happening they have two options. The first is to stop buying their products and the second is to get the workers to go on strike for a better deal. Government doesn’t have to get involved.

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