Chapter 53 – Some Dogs (and Sages) Appreciate Word-Play
If I had any learning
Of a highway wide and fit,
Would I lose it at each turning?
Yet look at people spurning
Natural use of it!
See how fine the palaces
And see how poor the farms,
How bare the peasants’ granaries
While gentry wear embroideries
Hiding sharpened arms,
And the more they have the more they seize,
How can there be such men as these
Who never hunger, never thirst,
Yet eat and drink until they burst!
There are other brigands, but these are the worst
Of all the highway’s harms
Translated by Witter Bynner (1944)
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Now as through this world I ramble
I see lots of funny men,
Some will rob you with a six-gun
And some with a fountain pen.
Woody Guthrie, “Pretty Boy Floyd” (1939)
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A great thing about the Tao Te Ching is that although it was written 2500 years ago its insights remain valuable today. In the commentary for Chapter 19, I mentioned the story of how Lao Tzu became disgusted with the corruption at the royal court so, the story goes, he left town on a water buffalo to follow the Way and commune with nature. Apparently he remained disgusted as he wrote this chapter lamenting that rulers use their wealth and power to tax and coerce the common people – robbing from the poor and giving to the rich (themselves), as it were.
Even today, there are many people in many parts of the world who have the same view of governmental oppression. In the United States, we are also becoming irate over the perceived greed of huge corporations and their executives. Although Lao Tzu was writing about the abuses of rulers, the thoughts on inequality in this chapter are meaningful when considering the acts of the corporate elite.
This issue was recently given considerable news coverage in connection with the annual shareholders’ meeting of Chipolte Mexican Grill. That company has two co-CEOs, and between them they were paid just under $50 million last year. The fast casual restaurant chain has about 45,000 employees whose median salary is less than $9/hour – or about $18,000 per year. If you do the math, you will see that each of the co-CEOs received as much income as 1,400 of their typical employees.
Let’s take a quick poll. How many of you out in cyberspace believe that a corporate CEO provides as much value to a company as 1,400 of its employees out in the field doing the work to bring the company income? . . . OK, I see one – no, two – hands. It looks like a CEO has raised both hands for this vote. No one else?
That is just about the result I expected. At Chipolte’s shareholders’ meeting it wasn’t quite that lopsided. Still, 77% of the shares were voted against the proposed executive compensation plan. It was a non-binding vote, but I assume that the recent publicity is going to cause Chipolte to make a show of some type of compensation reform.
For the last few years of my career in the title business, I worked, through no fault of my own (which is a story for another time), for a Fortune 500 company that not only underwrites title insurance but also owns restaurant chains, an auto supply chain and other businesses. I still work for the company part-time and I own some of its stock through an employee stock purchase plan. A few days ago I received proxy material for the annual meeting which, among other things, asked me to vote to approve the new executive compensation plan.
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