American demands of Japan may increase in the future but America has a great many defects of its own, to which we must continuously direct its attention.
My long observation of American corporations leaves me puzzled about American human rights legitimacy. Human rights are held to be such high moral values in America and it preaches on the subject continuously all over the world. America has been criticizing and condemning nations such as South Africa and Afghanistan on human rights issues; however, I must ask Americans if they are applying these same standards to their own workers.
American corporations hire workers right and left and build new plants all over whenever the market is bullish, in an attempt to maximize their profits. Yet once the tide shifts, they lay off workers simply to protect company profits. These laid-off workers have nothing to do with poor market conditions.
American corporate executives are of the opinion that it is a corporate right to pursue maximum profits and that fired workers should be able to live on their savings. However, people do not work for wages alone. Work has more meaning to most people than just as a means of subsistence. A Japanese worker has a sense of mission in holding his job for his lifetime as well as supporting the corporation which provides him with meaning to his life. This may well not be the case in America. American workers may only expect a comfortable wage for their work. However, this attitude could change. People can easily develop loyalty to a group or to a company to which they belong, depending upon conditions and guidance provided. This sense of loyalty to the company is a formidable asset. Repetitive hiring and firing denies any possibility of cultivating a sense of loyalty.
I must ask American executives if they regard workers as mere tools which they can use to assure profits and then dump whenever the market sags. It seems that workers are treated simply as resources or tools rather than as human beings with inalienable rights. I would like to suggest that they should first do something to protect the human rights of workers in America before they start asking other nations to protect and enhance the human rights of their citizens. There are good reasons why American labor unions must be confrontational in protecting their members and attempting to assure maximum wages during periods of employment since they have no assurance that the jobs will continue. Attitudes of executives are not actually much different than those of the union to the extent that they grab whatever they can - as much as half the company's annual profits in the form of huge bonuses, claiming that this is just since they were responsible for the profits.
A corporate chairman with whom I am acquainted, complained that he has no use for all the money he receives. His company is doing well and his income is in the multi-million dollar a year range. His children are all grown and he and his wife already have vacation villas, a yacht and a private airplane; he said they just have no way to spend any more money on themselves.
Japanese executives work morning to night to improve the position of their companies, and yet the majority of their salaries are wiped out by taxes. The income gap between American and Japanese business executives is astounding. In Japan, even if one works very hard to increase his income to assure himself of some of the amenities of life, there is no way that he could expect to equal the luxuries enjoyed by American executives. Mr. Matsushita, probably the wealthiest man in Japan, when traveling abroad with his secretary, uses regular commercial flights. Having a private plane is simply out of his realm of consideration.
There is some talk in Japan concerning levying taxes on profits generated by the founder of a corporation. I am opposed to this proposal as I believe the spirit of free enterprise must be protected. While an unbridled pursuit of personal gain is not ideal, those who have created new business through extraordinary effort and who have made this contribution to society, should be rewarded financially to a certain extent as this will provide encouragement to young people, motivating them to follow their dreams and create new industries.
The current popular idea that everyone belongs in the middle class and the wealthy are suspect may undermine the very basis of a free economy. The Liberal Democratic Party, however, tends to accept this premise, as put forth by the opposition for the sole purpose of parliamentary manipulation, which is a shame since they have a 300-seat majority.
Japan has been a practicing free economy and a good majority of the people do in fact belong to the so-called middle class, which I think is marvelous. We have no real social classes and everyone is free to choose whatever profession or occupation they wish.
Today in Japan, nearly all company executives dine out on company accounts and ride in corporate-owned cars. As a child, I never saw this kind of lavish living by corporate executives such as my father. He had a car and a chauffeur, but they were financed directly by him, out of his own pocket. It would be beyond his comprehension to use a company car and driver for his personal use. I am not particularly opposed to such benefits enjoyed by today's executives, as they can be correct rewards and incentives.
American corporate practices, from my personal observations, are extreme. An example is the so-called "golden parachute," which is the ultimate executive privilege. When one's reputation as an executive is well established, and he is hired by another company, his contract may well contain these "golden parachutes." The executive may demand a certain percentage of corporate profits as his bonus, or perhaps some stock options. Upon retirement, he may still receive his salary for a number of years. Should he pass away during this period, his wife may be entitled to receive all or a percentage of these benefits. Should he be fired, for whatever reason, he may still collect his salary under his contract. A contract is a contract and "golden parachutes" are a part of the system.
So even though the corporation may stall or crash, the executive is equipped with his "golden parachute" and is thereby guaranteed to land safely and comfortably. He may go to Florida and elsewhere to enjoy a rich retirement life. Who suffers? Who suffers is America: the American economy suffers from this outrageous system.