Under the capitalist "wage slave" system you don't receive full compensation for your work. By the very nature of the capitalist employer-worker employee relationship, you get less compensation than you should, because the capitalist employer takes excessive profits. Let's take a look at how this happens by examining a very simple example of an exchange.
The wheat grain to produce a sack of ground wheat, let's say, costs $1.00
The means of production costs $2.00 1
The capitalist owner of the means of production pays you $1.00 for your labor
The capitalist owner sells the sack of ground wheat for $8.00
The capitalist has paid $1.00 for the wheat grain, $2.00 in production costs, and $1.00 for your labor--a total of $4.00--for a commodity which he now sells for $8.00. His profit is $4.00 or 100%. The capitalist owner of the means of production makes 400% more in profit than you do in wages, plus he owns and can sell the means of production whenever he wants. He creates an "army of the unemployed" to decrease his labor costs, through outsourcing or encouraging illegal immigration.
The ratio of average chief executive pay to worker
pay was 431 to 1 in 2004, up from 301 to 1 in 2003.
1 The grain mill in total costs the capitalist $30,000. But the use of the mill for the specific grinding of the wheat grain to produce one bushel of wheat flour is $2.00.