---
title: "Meaning & Key Takeaway of: The great irony of executive compensation…"
description: "\"The great irony of executive compensation is, if you pay your employees more, you're gonna create more demand for your goods and services! Which is gon..."
image: "https://sms4smile.com/quotes/i/92d/anthony-scaramucci-2445_compensation_the-great-irony-of-executive-compensatio_3037643.jpg"
---

#  The great irony of executive compensation is, if you pay…

![“The great irony of executive compensation is, if you pay your employees more, you're gonna create more demand for your goods and services! Which is gonna lead to more executive compensation than if you pay your employees less and try to take all the cream off of the top.” quote by Anthony Scaramucci](https://sms4smile.com/quotes/i/92d/anthony-scaramucci-2445_compensation_the-great-irony-of-executive-compensatio_3037643.jpg)   [Download](https://sms4smile.com/quotes/i/92d/anthony-scaramucci-2445_compensation_the-great-irony-of-executive-compensatio_3037643.jpg) [Open image](https://sms4smile.com/quotes/i/92d/anthony-scaramucci-2445_compensation_the-great-irony-of-executive-compensatio_3037643.jpg)

> “The great irony of executive compensation is, if you pay your employees more, you're gonna create more demand for your goods and services! Which is gonna lead to more executive compensation than if you pay your employees less and try to take all the cream off of the top.”

[Anthony Scaramucci](https://sms4smile.com/quotes/author/anthony-scaramucci/)

## About This Quote

This interpretation was drafted with AI assistance. It is one reading of the quote, not the author's own explanation.

Higher employee wages increase demand, which can drive up executive pay, challenging the notion that low wages benefit executives.

**In simple terms:** Paying workers more can raise executive compensation.

Key Takeaway

Consider holistic compensation strategies.

Themes

compensation economics business strategy market dynamics

Mood

business strategic

Type

analysis insight

When to use this quote

- salary negotiations
- budget planning
- executive pay review

Key Concepts

labor economics incentive structures corporate governance

Questions to Reflect On

- How to align employee and executive incentives?
- What models balance fair wages and executive pay?

A Different Perspective

Higher wages may reduce profit margins.

★ ★ ★ ★ ★   No ratings yet

[Compensation](https://sms4smile.com/quotes/about/compensation/) [Demand](https://sms4smile.com/quotes/about/demand/) [Employee](https://sms4smile.com/quotes/about/employee/) [Executives](https://sms4smile.com/quotes/about/executives/) [Irony](https://sms4smile.com/quotes/about/irony/)

## Related quotes

> [I don't like what's going on with the executive compensation.](https://sms4smile.com/quotes/warren-buffett/i-don-t-like-what-s-going-on-with-the-executive-compensation/)

[Warren Buffett](https://sms4smile.com/quotes/author/warren-buffett/)

> [For example: (1) As if governed by Newton's First Law of Motion, an institution will resist any change in its current direction; (2) Just…](https://sms4smile.com/quotes/warren-buffett/for-example-1-as-if-governed-by-newton-s-first-law-of-motion-an/)

[Warren Buffett](https://sms4smile.com/quotes/author/warren-buffett/)

> [Too often, executive compensation in the U.S. is ridiculously out of line with performance. That won't change, moreover, because the deck is stacked against…](https://sms4smile.com/quotes/warren-buffett/too-often-executive-compensation-in-the-u-s-is-ridiculously-out-of-2/)

[Warren Buffett](https://sms4smile.com/quotes/author/warren-buffett/)

> [“Even the highest compensation is a tiny fraction of the value created by many business and technical innovations. The problem with executive compensation in…](https://sms4smile.com/quotes/william-w-lewis/even-the-highest-compensation-is-a-tiny-fraction-of-the-value-created/)

[William W. Lewis](https://sms4smile.com/quotes/author/william-w-lewis/)

> [We have new rules that give shareholders the ability to vote on executive compensation. We have new rules for asset-backed securities. We have new…](https://sms4smile.com/quotes/mary-schapiro/we-have-new-rules-that-give-shareholders-the-ability-to-vote-on/)

[Mary Schapiro](https://sms4smile.com/quotes/author/mary-schapiro/)

> [Too often, executive compensation in the U.S. is ridiculously out of line with performance. That won't change, moreover, because the deck is stacked against…](https://sms4smile.com/quotes/warren-buffett/too-often-executive-compensation-in-the-u-s-is-ridiculously-out-of/)

[Warren Buffett](https://sms4smile.com/quotes/author/warren-buffett/)

> [The number one way to get trust back is to pay your employees well and get them to speak well about the company.](https://sms4smile.com/quotes/richard-edelman/the-number-one-way-to-get-trust-back-is-to-pay-your-employees-well/)

[Richard Edelman](https://sms4smile.com/quotes/author/richard-edelman/)

> [Twice I had to sell my house to pay my employees' salary.](https://sms4smile.com/quotes/zhou-qunfei/twice-i-had-to-sell-my-house-to-pay-my-employees-salary/)

[Zhou Qunfei](https://sms4smile.com/quotes/author/zhou-qunfei/)

> [In the beginning, I was so chintzy I really didn't pay my employees well.](https://sms4smile.com/quotes/sam-walton/in-the-beginning-i-was-so-chintzy-i-really-didn-t-pay-my-employees/)

[Sam Walton](https://sms4smile.com/quotes/author/sam-walton/)

> [American managers often say they would like to pay their employees more, they argue that they can't afford to do so and, at the…](https://sms4smile.com/quotes/james-o-toole/american-managers-often-say-they-would-like-to-pay-their-employees/)

[James O'Toole](https://sms4smile.com/quotes/author/james-o-toole/)

> [Cleaning companies often pay their employees less than a living wage and offer no sick days or health insurance. My years of working for…](https://sms4smile.com/quotes/stephanie-land/cleaning-companies-often-pay-their-employees-less-than-a-living-wage/)

[Stephanie Land](https://sms4smile.com/quotes/author/stephanie-land/)

> [In 1902 I left the A.E.G. in order to enter finance. I joined the management of one of our big banks, the Berliner Handelsge-Sellschaft,…](https://sms4smile.com/quotes/walther-rathenau/in-1902-i-left-the-a-e-g-in-order-to-enter-finance-i-joined-the/)

[Walther Rathenau](https://sms4smile.com/quotes/author/walther-rathenau/)

> [Times are completely different now. If you're a brand new artist with a record you want to release to the masses, I would suggest…](https://sms4smile.com/quotes/ashanti/times-are-completely-different-now-if-you-re-a-brand-new-artist-with/)

[Ashanti](https://sms4smile.com/quotes/author/ashanti/)

> [If we're going to live as we are in a world of supply and demand, then journalists had better find a way to create…](https://sms4smile.com/quotes/bill-kovach/if-we-re-going-to-live-as-we-are-in-a-world-of-supply-and-demand-then/)

[Bill Kovach](https://sms4smile.com/quotes/author/bill-kovach/)

> [Well, for starters, we have to do more to create demand for new technologies that can reduce our dependence on foreign oil and environmental…](https://sms4smile.com/quotes/sherwood-boehlert/well-for-starters-we-have-to-do-more-to-create-demand-for-new/)

[Sherwood Boehlert](https://sms4smile.com/quotes/author/sherwood-boehlert/)

## More by Anthony Scaramucci

> [I grew up in the middle class.](https://sms4smile.com/quotes/anthony-scaramucci/i-grew-up-in-the-middle-class/)

[Anthony Scaramucci](https://sms4smile.com/quotes/author/anthony-scaramucci/)

> [You're never gonna find the perfect politician.](https://sms4smile.com/quotes/anthony-scaramucci/you-re-never-gonna-find-the-perfect-politician/)

[Anthony Scaramucci](https://sms4smile.com/quotes/author/anthony-scaramucci/)

> [Every industry, there are rogues and bad actors. There could be rogues and bad actors in journalism. Rogues and bad actors in medicine. Rogues…](https://sms4smile.com/quotes/anthony-scaramucci/every-industry-there-are-rogues-and-bad-actors-there-could-be-rogues/)

[Anthony Scaramucci](https://sms4smile.com/quotes/author/anthony-scaramucci/)

> [You have to love the office and you have to love our country and what is going on right now.](https://sms4smile.com/quotes/anthony-scaramucci/you-have-to-love-the-office-and-you-have-to-love-our-country-and-what/)

[Anthony Scaramucci](https://sms4smile.com/quotes/author/anthony-scaramucci/)

> [General Petraeus is a man that has the backbone that somebody like President-elect Trump would love.](https://sms4smile.com/quotes/anthony-scaramucci/general-petraeus-is-a-man-that-has-the-backbone-that-somebody-like/)

[Anthony Scaramucci](https://sms4smile.com/quotes/author/anthony-scaramucci/)

> [The better side of Wall Street is when it is acting as an efficient mechanism of capital formation and capital flow, which helps businesses…](https://sms4smile.com/quotes/anthony-scaramucci/the-better-side-of-wall-street-is-when-it-is-acting-as-an-efficient/)

[Anthony Scaramucci](https://sms4smile.com/quotes/author/anthony-scaramucci/)

> [The weird thing about my relationship with Reince is we were pretty good friends when I was a political donor writing checks to the…](https://sms4smile.com/quotes/anthony-scaramucci/the-weird-thing-about-my-relationship-with-reince-is-we-were-pretty/)

[Anthony Scaramucci](https://sms4smile.com/quotes/author/anthony-scaramucci/)

> [I'm focused on leaks that hurt the institution of the president and the president himself. I understand we have to leak things to reporters…](https://sms4smile.com/quotes/anthony-scaramucci/i-m-focused-on-leaks-that-hurt-the-institution-of-the-president-and/)

[Anthony Scaramucci](https://sms4smile.com/quotes/author/anthony-scaramucci/)

> [I think, ultimately, the post-Reagan era will end with Scott Walker being elected the 45th President of the United States.](https://sms4smile.com/quotes/anthony-scaramucci/i-think-ultimately-the-post-reagan-era-will-end-with-scott-walker/)

[Anthony Scaramucci](https://sms4smile.com/quotes/author/anthony-scaramucci/)

> [Only in 1999 and 1984 have we seen a persistently strong dollar and strong risk appetite harmoniously co-exist.](https://sms4smile.com/quotes/anthony-scaramucci/only-in-1999-and-1984-have-we-seen-a-persistently-strong-dollar-and/)

[Anthony Scaramucci](https://sms4smile.com/quotes/author/anthony-scaramucci/)

> [You get growth in the United States, the rest of the world will grow.](https://sms4smile.com/quotes/anthony-scaramucci/you-get-growth-in-the-united-states-the-rest-of-the-world-will-grow/)

[Anthony Scaramucci](https://sms4smile.com/quotes/author/anthony-scaramucci/)

> [I lived in London, went to the London School of Economics, do a lot of business in London, and have a lot of fun…](https://sms4smile.com/quotes/anthony-scaramucci/i-lived-in-london-went-to-the-london-school-of-economics-do-a-lot-of/)

[Anthony Scaramucci](https://sms4smile.com/quotes/author/anthony-scaramucci/)

> [For people who grew up in the last four decades of the 20th century, it is hard to grasp the concept of negative interest…](https://sms4smile.com/quotes/anthony-scaramucci/for-people-who-grew-up-in-the-last-four-decades-of-the-20th-century/)

[Anthony Scaramucci](https://sms4smile.com/quotes/author/anthony-scaramucci/)

> [It has been a very successful life experience for President Trump to be President Trump. So let's let him do that... Let's see where…](https://sms4smile.com/quotes/anthony-scaramucci/it-has-been-a-very-successful-life-experience-for-president-trump-to/)

[Anthony Scaramucci](https://sms4smile.com/quotes/author/anthony-scaramucci/)

> [I do think that there is pressure in various constituencies to reject the president.](https://sms4smile.com/quotes/anthony-scaramucci/i-do-think-that-there-is-pressure-in-various-constituencies-to-reject/)

[Anthony Scaramucci](https://sms4smile.com/quotes/author/anthony-scaramucci/)

[Explore all 166 Anthony Scaramucci quotes ](https://sms4smile.com/quotes/author/anthony-scaramucci/)

## More Compensation quotes

> [The only place where compensation comes before service is in the dictionary or anywhere the government meddles.](https://sms4smile.com/quotes/orrin-woodward/the-only-place-where-compensation-comes-before-service-is-in-the/)

[Orrin Woodward](https://sms4smile.com/quotes/author/orrin-woodward/)

> [“Time wasted can never be compensated”](https://sms4smile.com/quotes/sunday-adelaja/time-wasted-can-never-be-compensated/)

[Sunday Adelaja](https://sms4smile.com/quotes/author/sunday-adelaja/)

> [The compensations of calamity are made apparent to the understanding also, after long intervals of time. A fever, a mutilation, a cruel disappointment, a…](https://sms4smile.com/quotes/ralph-waldo-emerson/the-compensations-of-calamity-are-made-apparent-to-the-understanding/)

[Ralph Waldo Emerson](https://sms4smile.com/quotes/author/ralph-waldo-emerson/)

> [A contract is an ask game, and if it asks for an hour, and I submit to an hour, then it's an hour. When…](https://sms4smile.com/quotes/chuck-berry/a-contract-is-an-ask-game-and-if-it-asks-for-an-hour-and-i-submit-to/)

[Chuck Berry](https://sms4smile.com/quotes/author/chuck-berry/)

> [Today there is no symbolic compensation for old age, no recognition of a specific value: wisdom, perceptiveness, experience, vision.](https://sms4smile.com/quotes/roland-barthes/today-there-is-no-symbolic-compensation-for-old-age-no-recognition-of/)

[Roland Barthes](https://sms4smile.com/quotes/author/roland-barthes/)

> [Providence has given us hope and sleep as a compensation for the many cares of life](https://sms4smile.com/quotes/voltaire/providence-has-given-us-hope-and-sleep-as-a-compensation-for-the-many/)

[Voltaire](https://sms4smile.com/quotes/author/voltaire/)

> [Because what happens is, as the economy suffers, tax revenues go down. But unlike businesses, where at least your variable costs go down, in…](https://sms4smile.com/quotes/meg-whitman/because-what-happens-is-as-the-economy-suffers-tax-revenues-go-down/)

[Meg Whitman](https://sms4smile.com/quotes/author/meg-whitman/)

> [For the sacrificed, in the hour of sacrifice, only one thing counts: faith-alone among enemies and skeptics. Faith, in spite of the humiliation which…](https://sms4smile.com/quotes/dag-hammarskj-ld/for-the-sacrificed-in-the-hour-of-sacrifice-only-one-thing-counts/)

[Dag Hammarskjold](https://sms4smile.com/quotes/author/dag-hammarskj-ld/)

> [“In other words, what we seek is some kind of compensation for what we put up with”](https://sms4smile.com/quotes/haruki-murakami/in-other-words-what-we-seek-is-some-kind-of-compensation-for-what-we/)

[Haruki Murakami](https://sms4smile.com/quotes/author/haruki-murakami/)

> [It is a law of nature we overlook, that intellectual versatility is the compensation for change, danger, and trouble. An animal perfectly in harmony…](https://sms4smile.com/quotes/anonymous/it-is-a-law-of-nature-we-overlook-that-intellectual-versatility-is/)

[Anonymous](https://sms4smile.com/quotes/author/anonymous/)

> [The only compensation, gained through the influence of nongovernmental organizations, consisted in slightly broadening for private individuals the possibility of access and appeal to…](https://sms4smile.com/quotes/rene-cassin/the-only-compensation-gained-through-the-influence-of-nongovernmental/)

[Rene Cassin](https://sms4smile.com/quotes/author/rene-cassin/)

> [Were God to show grace to all of Adam's descendants, men would at once conclude that He was righteously compelled to take them to…](https://sms4smile.com/quotes/arthur-w-pink/were-god-to-show-grace-to-all-of-adam-s-descendants-men-would-at-once/)

[Arthur W. Pink](https://sms4smile.com/quotes/author/arthur-w-pink/)

> [What we seek is some kind of compensation for what we put up with.](https://sms4smile.com/quotes/haruki-murakami/what-we-seek-is-some-kind-of-compensation-for-what-we-put-up-with/)

[Haruki Murakami](https://sms4smile.com/quotes/author/haruki-murakami/)

> [We also have no incentive compensation of any kind. And the reason we don’t is because it is detrimental to teamwork.](https://sms4smile.com/quotes/jeff-bezos/we-also-have-no-incentive-compensation-of-any-kind-and-the-reason-we/)

[Jeff Bezos](https://sms4smile.com/quotes/author/jeff-bezos/)

> [Different artists are talking about the laws that exist and how they need to be fixed so that compensation does happen to a far…](https://sms4smile.com/quotes/stevie-wonder/different-artists-are-talking-about-the-laws-that-exist-and-how-they/)

[Stevie Wonder](https://sms4smile.com/quotes/author/stevie-wonder/)

[Browse all 369 Compensation quotes ](https://sms4smile.com/quotes/about/compensation/)

```json
{
    "@context": "https://schema.org",
    "@graph": [
        {
            "@type": "Quotation",
            "text": "The great irony of executive compensation is, if you pay your employees more, you're gonna create more demand for your goods and services! Which is gonna lead to more executive compensation than if you pay your employees less and try to take all the cream off of the top.",
            "creator": {
                "@type": "Person",
                "name": "Anthony Scaramucci"
            },
            "isPartOf": {
                "@id": "https://sms4smile.com/quotes/#website"
            },
            "url": "https://sms4smile.com/quotes/anthony-scaramucci/the-great-irony-of-executive-compensation-is-if-you-pay-your/",
            "about": {
                "@type": "Thing",
                "name": "Compensation"
            },
            "@id": "https://sms4smile.com/quotes/anthony-scaramucci/the-great-irony-of-executive-compensation-is-if-you-pay-your/#quotation",
            "image": {
                "@type": "ImageObject",
                "@id": "https://sms4smile.com/quotes/i/92d/anthony-scaramucci-2445_compensation_the-great-irony-of-executive-compensatio_3037643.jpg",
                "contentUrl": "https://sms4smile.com/quotes/i/92d/anthony-scaramucci-2445_compensation_the-great-irony-of-executive-compensatio_3037643.jpg",
                "url": "https://sms4smile.com/quotes/i/92d/anthony-scaramucci-2445_compensation_the-great-irony-of-executive-compensatio_3037643.jpg",
                "width": 1080,
                "height": 1080,
                "caption": "“The great irony of executive compensation is, if you pay your employees more, you're gonna create more…” — Anthony Scaramucci",
                "creditText": "SMS4Smile Quotes",
                "creator": {
                    "@id": "https://sms4smile.com/quotes/#organization"
                }
            }
        },
        {
            "@type": "BreadcrumbList",
            "itemListElement": [
                {
                    "@type": "ListItem",
                    "position": 1,
                    "name": "Home",
                    "item": "https://sms4smile.com/"
                },
                {
                    "@type": "ListItem",
                    "position": 2,
                    "name": "Quotes",
                    "item": "https://sms4smile.com/quotes/"
                },
                {
                    "@type": "ListItem",
                    "position": 3,
                    "name": "Anthony Scaramucci",
                    "item": "https://sms4smile.com/quotes/author/anthony-scaramucci/"
                },
                {
                    "@type": "ListItem",
                    "position": 4,
                    "name": "The great irony of executive compensation...",
                    "item": "https://sms4smile.com/quotes/anthony-scaramucci/the-great-irony-of-executive-compensation-is-if-you-pay-your/"
                }
            ],
            "@id": "https://sms4smile.com/quotes/anthony-scaramucci/the-great-irony-of-executive-compensation-is-if-you-pay-your/#breadcrumb"
        },
        {
            "@type": "WebSite",
            "@id": "https://sms4smile.com/quotes/#website",
            "name": "SMS4Smile Quotes",
            "url": "https://sms4smile.com/quotes/",
            "publisher": {
                "@id": "https://sms4smile.com/quotes/#organization"
            }
        },
        {
            "@type": "Organization",
            "@id": "https://sms4smile.com/quotes/#organization",
            "name": "SMS4Smile Quotes",
            "url": "https://sms4smile.com/quotes/",
            "logo": {
                "@type": "ImageObject",
                "url": "https://sms4smile.com/quotes/wp-content/themes/sq/assets/icons/icon-512.png",
                "width": 512,
                "height": 512
            }
        }
    ]
}
```
