At 05:37 AM 3/15/2004 -0000 Jan Coffey wrote:
>What would you think of a system where the employees would have to
>each own an equal part of a company?
I think that it would be disastrous. As an employee of company you bear
significant "income risk" by accepting employment with a company. If some
exogenous factor causes the company to go belly-up, you lose - at least
temporarily - your income.
Accepting ownership of the same economy causes you to also assume "savings
risk" with the same company. Now, if the company goes belly-up you lose
not only your income, but your savings as well. It simply is not smart of
employees to do that. (This, incidentally, is what happened to a lot of
Enron employees - they lost both their income and their savings.)
Incidentally, this strategy has been already attempted in a few places,
most notable at United Airlines. This strategy was abandoned after the
employees proved unwilling to agree to the hard decisions needed to keep
the airline out of bankruptcy. In this case, most employees were
fortunate to lose only their savings and not their income - even though a
great many of them did lose both.
JDG
_______________________________________________________
John D. Giorgis - [EMAIL PROTECTED]
"The liberty we prize is not America's gift to the world,
it is God's gift to humanity." - George W. Bush 1/29/03
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