Employees earning the same than Managers?

[Fandango]

I friend of mine who lives in Austria, Europe told me that in his company, they pay the same to both employees and managers. Could this ever work? Shouldn´t this be a pyramid system?

I also notice that managers in my company get shocked when they learn that the company pays more to some freelances than what they earn (freelances do the same kind of job as the regular employees in my company but they are paid more in time of a lot of work). They are shocked when they realize people without an university degrees but rare skills are getting paid much more than they are.

Notice that in my country to be a manager, usually you need to have a university degree.

Is this somehow a country moving up in spiral dynamics from orange to green?

Could you do this in a small company that is orange in spiral dynamics?

Merry Christmas! (Santa Claus is your father)

 

[Yarco]

Frankly I don't believe it unless they can show me the Glassdoor pages showing the salaries for managers and employees. Why would someone take on more work and responsibility for the same amount of pay? There must be some other detail they're leaving out.

Maybe if the employees are skilled engineers or something and the managers are just business people without specialization. Or if it's a co-op where everyone is a shareholder. 

With everything else equal, in a large faceless company where you're just a cog in a machine, I don't see it working.

The thing about freelancers is that normally you pay for a result, not their time. You pay the same amount if it takes them 10 hours or 100 hours. People underestimate how much time salaried employees waste in a day. And also the added risk of a freelancer not knowing where there next project will come from, they aren't getting healthcare or other employee benefits, etc.

[Snuitje]

9 hours ago, Fandango said:

I also notice that managers in my company get shocked when they learn that the company pays more to some freelances than what they earn (freelances do the same kind of job as the regular employees in my company but they are paid more in time of a lot of work). They are shocked when they realize people without an university degrees but rare skills are getting paid much more than they are.

The reason probably is because they are self employed and need to pay their own taxes, save up for their retirement, etc. So in the end it might be slighty more (or slightly less!) then regular pay, but on paper it seems like a lot more. Not sure if we're talking about the same thing here but I've seen the freelancers here in the Netherlands as well.