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> Of course pay cuts always ignore shareholders as they are really getting the benefit of paying less for same number of people.

Perhaps this could be mitigated by equity-based compensation equal to the amount reduced in salary. It won't make up for the lost cash, especially if the company is in a place where it needs to take such measures, but it would give more meaning to the "in it together" message.

Exactly. I think a 10% pay cut with no layoff would create a sense of job security that most people would consider well worth a 10% cut.

Back before shares were liquid assets a shareholder often was required to put money back in the company when it hit a rough patch or lose their shares.