this post was submitted on 31 Jul 2024
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I would love to see a policy where there is a variable tax rate on companies based on employees satisfaction.
If a company has a largely unhappy workforce they would be taxed most of their profits.
If a company has a extremely happy workforce then it can reduce the taxation rate below the standard rate. And employees can still vote on this 2 years after termination.
It incentivises companies to invest more in the employees wellbeing, and punishes companies that take practice in unsustainable hiring and mass layoffs later.
If it is unavoidable that a company needs to downsize, they would be incentivised to help employees find new employment.
I'm sure there is a large issue I'm not seeing with this but I'm pretty fond of the idea.
There is a simpler way to do this, and it's a worker cooperative. Workers own the business and they democratically decide what the business does. There is no separation between the leadership and the workforce. Maintaining that separation will always result in conflict because the interests of the owners will never be the same as those of the workers.
How is that simpler?
It sounds way more complex to logistically set up a system like that. Best case is a lot of regulation needed, worse case is a complete overhaul of the economy.
It already exists. See for example Mondragon
The major issue is that it has to compete on a global market that's exploitative.
100% agree with the exploitative global market.
Also, that was an interesting read and a great example of an ideal company's practice.
Though it was a bit vague on where the start up funding came from. Which is what I was most curious about (and my main reason I consider the practice complex to implement)
Mondragon seems to be founded by a generous man that created the company from the ground up with these principles in mind, but unfortunately most people with the resources to this kind of business do not have such great ideals (and for the most part, they have these resources because they don't have them and thus exploited workers)
How would a business take off the ground in this scenario without a selfless benefactor?
Also it's a much different beast to convert an already established company like amazon and convert that to the same system. Mainly in that the owners and shareholders do not want to give up their investment for nothing.
What are the options then? Steal the company from the amazon investors in spite of the capital they invested to the company? Or pay them off?(would be expensive if going by market value)
Stealing would still be dystopian. I have no love for amazon investors, but imagine a lovely small family-owned business that invested all their life savings into it, before being taken from them because they hired some teenagers to help them for the summer.
It's complex, and not likely compatible with the current economy (unless the rich bastard's hearts grow 3 sizes large), but it would be nice if this business type was more widespread.
I consider the tax rate suggestion a good way to integrate the employee vote with capitalism. it still "survival of the fittest" but the "fittest" would be a profitable company that looks after it's employees.
Yeah, it's not an easy problem to solve. As someone who is mainly versed in the socialist tradition I view class conflict as the primary impedement to social progress. And any system that incorporates competition will, in my view, generate class conflict. It's all or nothing: you can't have a cooperative structure operating within a competetive framework.
In practical terms, this has meant a lot of different things over the past few centuries. Nobody has found the correct answer. In the present system, the first step is unionization and increasing class consciousness among the labor force. The second step is coordinated action via targeted mass action (think cross-industry work stoppages that disrupt production and logistics). Essentially you cripple the owner class at large by disrupting their profits and force them to make concessions. You could have a gradual move towards cooperative ownership by forcing down the ratio of CEO to average worker pay. You could force the passage of the types of tax reform that you are arguing for. You could force the passage of social welfare reform.
But ultimately this movement would have to be worker-led, because the ruling class will always invent new ways to entrench themselves in power. John Maynard Keynes referred to the "euthenasia of the rentier class". In other words, they would humanely pass into the dust bin of history because they would no longer exist as a class, because the workers would not tolerate them.