Most people in the United States and for sure shareholders of losing companies have been railing against executive pay for many years. It is generally agreed the salaries, bonuses, stock options, deferred compensation, and retirement packages have become ridiculous and do not reflect anything other then the "good ol' boy network" operating at its worst.

Compensation committees substantiate their decisions in a fashion that outlines plausible deniability not merit, value or truth. They do not reflect shareholders, employees, or customers best interest. They reflect a tight knit group that has to pay and pay big so that they can get theirs in the next round.

This brings me to the National Basketball Association and its use of the salary cap. We just witnessed an NBA finals where the better team won (Boston Celtics in six games) and that is the nature of the game. It's five on five, the best player does not take every shot and the best player cannot defend the other team by himself.

Wal-Mart employs nearly as many people as the U.S. government, and its 1.3 million "associates" are so often the source of pity to the nation's economists. They make so little, it's said, they often can't afford to shop in their own low-priced employer's stores.

That makes news that starting pay will rise at about a third of Wal-Mart's U.S. stores, big. Wal-Mart says the range of starting hourly wages will increase an average of 6% but gave no details such as example starting pay. Additionally, the retail chain is instituting new wage caps on each type of job.

Interestingly, the Wal-Mart spokesperson responsible for this news spun the caps as a positive (paraphrase thanks to the AP): "the wage caps give current associates an incentive to move up to higher positions if they want to make more money." Umm... sure. Now employees must get more responsibility if they want more money, I suppose. In the abstract, it's a good thing, but having managed lots of people I've learned that not everyone is cut out for responsibility; the new caps will limit the lifetime earnings potential of thousands upon thousands of employees.