General Discussion
Related: Editorials & Other Articles, Issue Forums, Alliance Forums, Region ForumsCount me skeptical, but Mark Cuban says
coronavirus will end up improving capitalism with companies putting employees first
https://www.cnbc.com/2020/04/08/mark-cuban-says-coronavirus-will-end-up-improving-capitalism-with-companies-putting-employees-first.html
Capitalism will become more compassionate as a result of the coronavirus pandemic, billionaire entrepreneur Mark Cuban said Wednesday.
I think capitalism is going to become a lot smarter and a lot more compassionate because of what were going through, Cuban said on CNBCs Closing Bell.
Cuban, owner of the NBAs Dallas Mavericks, said he thinks executives will now recognize that they need to put employees first. The consequences of not doing so will be greater now than it was in the aftermath of the financial crisis, when social media was still in its nascent stage, Cuban said.
It cant just be about shareholders, Cuban said. In fact, you have to put employees ahead of shareholders.
Shareholders will ultimately reward the companies that do so by awarding their stock a higher multiple, Cuban contended.
DEbluedude
(816 posts)The problem I see is that to have compassion for employees one must have a heart. Most of the senior corporate level management that I've dealt with are not only heartless, they are soulless. Looking into their eyes is like looking into a deep dark chasm. It's literally all about Wall Street. Employees ARE nothing more than a number. I too, am a skeptic.
Solomon
(12,310 posts)capitalism. Count me skeptical as well.
brush
(53,764 posts)the next quarters' earnings report. If the had any sense they be all in for single-payer healthcare they would've have to fund and pay workers to keep keep track of. Years ago when the auto industry was teetering on the brink, it was reported that every car was $1500 more expensive because of employer sponsored healthcare.
Dumb. Just think how much more competitive American cars would be against Japanese and German cars if they didn't have that added on cost.
Now it's probably even more. Same with all other industries that export their wares.
mercuryblues
(14,530 posts)I see it more like a smoke cloud.
Take Verizon, they are laying off thousands of people. I forget the company name, but they are part of Spectrum, raising their starting pay to $20.00 an hour.
Not so sure about shareholders rewarding companies. Companies will be rewarded by their employees. They'll create a loyalty bond between the 2. When a company show they value employees, employees will value the company.
unblock
(52,191 posts)hatrack
(59,583 posts)And when the pandemic dies down, it'll be back to the same vandalism as before.
Boomerproud
(7,951 posts)ads that run every 2 minutes.
hatrack
(59,583 posts)Windy City Charlie
(1,178 posts)Totally agree! And by the time the 30-second commercial is over I'm left saying, "you're saying you're here for us, but you didn't say how."
durablend
(7,460 posts)"Isn't that enough?"
ConnorMarc
(653 posts)To think otherwise would be wishful thinking. And that's putting it nicely.
Renew Deal
(81,855 posts)WhiskeyGrinder
(22,322 posts)Crabby Appleton
(5,231 posts)safeinOhio
(32,669 posts)are the workers.
Laelth
(32,017 posts)Companies and corporations have binding, state charters and a whole body of law that says the Board of Directors, the CEO, the CFO, and all of management MUST serve the interests of shareholders. Employees are but a means to an end. Unless corporate law changes, this dynamic will not change.
-Laelth
SheltieLover
(57,073 posts)Last edited Thu Apr 9, 2020, 08:29 PM - Edit history (1)
Corporations only see bottom line & employees aren't valued as sentient beings. They are like kleenex in a box. Single use and throw away for a new one. We call it the kleenex theory.
Laelth
(32,017 posts)It will take a liberal Supreme Court to do it.
Even that needed reform, however, would not change fundamental corporate law. Companies are legally bound to act in the interests of their shareholders, not their employees.
-Laelth
SheltieLover
(57,073 posts)Thx for sharing that!
Laelth
(32,017 posts)... when the English common law first ALLOWED corporate entities under Queen Elizabeth I, they were royal charters that the monarch would grant ONLY IF that company or corporation served the public interest. These days its merely assumed that making profit, however you can, serves the public interest. Its not true, of course, but that IS the guiding principle of the law in regards to corporate entities these days.
-Laelth
Phoenix61
(17,000 posts)by the stockholders. If the stockholders dont like what the board is doing, they fire them and elect someone else.
Laelth
(32,017 posts)Neither statement invalidates my point that the fundamental, legal purpose of a corporate entity is to serve the interests of its stockholders.
-Laelth
Wounded Bear
(58,639 posts)MissB
(15,805 posts)With him on the topic. Its 48 minutes long, and worth it to listen to before dissing him completely.
He talked about how companies act now will be important later. How they treat their employees will be part of how well the company moves forward after this. He says that if an employee is paid so little that they need government assistance, then its a failing of the company. He said $15/hr is a minimum.
Its 48 mins long; I cant possibly capture all of the content here.
Delphinus
(11,830 posts)I'll check it out.
Takket
(21,555 posts)TeamPooka
(24,220 posts)normal
JCMach1
(27,555 posts)HarlanPepper
(2,042 posts)Skittles
(153,142 posts)no indeed
Tribetime
(4,684 posts)empedocles
(15,751 posts)Caliman73
(11,730 posts)This is what happens with rich people. They lose touch with the reality shared by the majority because they do not have to live in it. Just like the message from Geffen aboard his yacht or statements from Gwyneth Paltrow, they are free to make those assumptions because they don't experience the cruelties of Capitalism.
Capitalism, unless sufficiently restrained will ALWAYS grind people up and move toward the concentration of wealth into fewer and fewer hands.
This is why I am a liberal. Liberalism seeks to preserve capitalism by preventing its greatest excesses. Liberal politics seek to spead the wealth such that we all benefit from capitalismnot just a few oligarchs.
-Laelth
CanonRay
(14,098 posts)Baked Potato
(7,733 posts)Run that by your billionaire buddies...