Does Congress Hate Workers?

This week, Congressman Sherman (D-CA) called on Wall Street CEO’s to sell their corporate jets in order to raise capital. Last week, when Senator Levin (D-MI) said basically the same thing, I started wondering, “Why do these guys hate workers?” Levin represents a state that practically identifies itself by its blue-collar roots (“the working man”). So, why does he want to put blue collar workers on the street?

I mean the folks who build the jets. Do you think they come from a magic jet fairy? They are built by blue collar workers. They are fixed, flown, and fueled by workers. They cost about $2000 per hour to fly. Where do you think that money goes, Senator? Congressman? It goes to pay the salaries of the people who keep them in the air. So they have jobs. Jobs our President wants to save, as I recall.

Oh, but it’s a terrible perk and sets the wrong example? Ah, like luxury boats—the kind President Clinton put a tax on? And then people realized they were putting the boat builders out of business? Selling that jet also means one less jet the workers need to build. Oops.

And let’s look at that “perk.” Let’s say your CEO earns $10 million per year—a lot less than most of them, but I think most people could agree that a successful CEO might be worth that. That works out to $5000 per hour, assuming a 40 hour work week and 50 weeks per year. (Certainly they work more, but let’s assume they just do the extra pro bono.)

By my math, if they fly commercial—or drive, like the idiots from Ford, GM, and Chrysler—then every hour, they are stealing $3000 in value from the company. They’re stealing from me, their stockholder. (The jet costs around $50 million, but it lasts 10 years and flies lots of suits at once, so let's not do more math.)

The head of my own company (which, let’s just say, is REALLY big) recently mused at a gathering that perhaps he should’ve driven down from corporate headquarters, instead of flying. It would’ve taken him 4 hours instead of 1 hour, each way. I know he was trying to be considerate, and I didn’t want to be rude, so I bit my tongue. What I really wanted to say was, “Sir, respectfully, if you don’t have something better to do with your time than spend 4 hours driving here, we have the wrong boss.”

We need to get past the idea that CEO’s fly on corporate jets because it’s fun, or fashionable, or chic. They do it because their time is really that valuable. If they screw up the company, then fire them. But that doesn’t change the fact that the company needs someone whose time is really that valuable. America is an egalitarian society, so we don’t like to think like that. But let’s get serious for a minute—that’s what we say we want in our nation’s leaders. Why would businesses want someone who’s just mediocre? Who, exactly, do we expect to end up in the cabinet?