Conventional wisdom in business is to give corporate executives large paychecks and to pay grunt workers much lower wages. At Les Schwab Tire Centers, the highest overall pay packages, including bonuses, went not to Les Schwab or other executives but to the people who really mattered, the store managers. Les wanted store managers and their workers to continue to make more and more money, because that would indicate that the company was doing better in terms of revenues and profits.
Compensation should go where there's the most to gain. Do most executives change that much?
