Comparable Worth
Thomas Allen
[Editor’s note: This article was submitted in 1984 for the “Southern National Newsletter” of the Southern National Party. The article has been slightly edited.]
“Comparable worth” is beginning to replace the chimera of “equal pay for equal work.” (The reason that equal pay for equal work is losing to comparable worth is that it has failed to transfer enough wealth from the productive to the politically powerful.) But what is comparable worth? How should wages be determined?
In a free market, the consumer determines wages. Wages are paid according to how much one contributes to society. Everyone is paid what he is worth. (If a person believes that he is underpaid, he is free to find a job that pays more.) However, government intervention distorts a worker’s real worth.
The government can distort wages in many different ways. It can do it indirectly by granting monopolistic privileges to labor unions and public utilities. Most of its economic regulations distort wages to some degree. These regulations create nonproductive and otherwise unnecessary positions. Businesses are forced to hire people who do nothing but placate governmental officials. Taxes can have both an indirect and a direct impact on wage rates.
Besides taxes, the government directly distorts wages in several other ways. The most obvious is to fix wages as was done during the wage freeze of the 1970s. Also, the government fixes a minimum wage and forbids anyone from working if his economic contribution to society falls below this arbitrary number. Further, it distorts wages by forcing businesses to hire a minimum number of politically privileged groups (commonly called minorities, although they may not be in the minority and although many minorities are not so privileged). Moreover, it dictates equal pay for equal work. (No two people do equal work because no two people are equal. No two people can be equal because no two people are identical. Only identical people can do equal work. Yet, the government does not let the facts stand in the way of its lust for power.) Now, it is pushing an idea that will give it complete control over the workers and the economy — comparable worth.
Comparable worth is an arbitrary and subjective approach that attempts to compare the tens of thousands of different occupations in the United States and to determine the relative value of each when compared with all other occupations. The comparable worth approach subjectively determines the economic contribution of each occupation to society. This means that one’s political influence determines one’s economic worth. White-collar workers develop comparable worth schemes. Not unexpectedly, these schemes always elevate white-collar jobs and lower blue-collar jobs. The subjective approach of comparable worth would replace the objective approach of the free market in determining wages. Bureaucrats would determine wages instead of consumers.
The outcome of the comparable worth approach would be economic chaos. The government would gain complete control over the lives of every worker. Class conflict, the lifeblood of democracy, would be encouraged. Thus, the blue-collar worker, who is normally discriminated against by comparable worth, would be pitted against the white-collar worker. Courts would be filled with litigation. The wealth of the politically powerful would rise, although their economic contribution to their fellow man would decline. Of course, the government would grow astronomically as it tried to administer this draconian program. All this would be the result of using the arbitrary and subjective approach of comparable worth to determine wages instead of the objective and unbiased approach of the free market.
If the desired goal is tyranny and a larger and more powerful government, then wages should be determined by comparable worth. If one should be paid according to his political influence, then wages should be determined by comparable worth. If the desired goal is liberty and justice, then wages should be determined by the free market. If one should be paid according to his economic contribution to his fellow man, then wages should be determined by the free market.
Copyright © 1984, 2026 by Thomas C. Allen.