Profits and pay for workers are in competition. So raising the cost of profits actually increases the incentive to pay workers more.
That is not how it works. When car companies start losing money, they don't give people raises; they fire them. When Goldman has a great quarter, they don't cut people's pay -- they give them bonuses.
Nonprofits are managed because they exist to spend money, not to spend it well.
You are missing the point. A company has money after expenses (I'll abbreviate it MAE) which must be distributed. (Or in the case of GM, they have negative money after expenses.) You are discussing the behavior of companies in response to changes in MAE.
I'm discussing how a fixed amount of MAE is distributed in response to changes in incentives. Each dollar of MAE can be given either to shareholders, to employees, or can be invested. If you raise the cost of distributing money to shareholders (this is what the corporate tax does), companies will divert money to employees and investments. I.e., no one will pay dividends if there is a 100% dividend tax.
I think you're mistaken in thinking that money will be distributed to the average worker in this scenario. It would all be paid out to the same shareholders as a salary instead of capital gains. The regular employees wouldn't see an extra dime.
That is not how it works. When car companies start losing money, they don't give people raises; they fire them. When Goldman has a great quarter, they don't cut people's pay -- they give them bonuses.
Nonprofits are managed because they exist to spend money, not to spend it well.