If they want to work, fine, but it's free. I bet they'd spend less time lobbying and more time working on noble pursuits.
Here's the problem: the Federal government has too much power. So long as it retains that power, people and corporations will figure out a way to influence the people who hold that power, through salaries, bribes, equity, favors, lobbying, or whatever.
The only real solution is to reign in Congress.
In reality, why would a would-be corrupt politician forgo multiple tens of millions in exchange for only 1 million?
Of course, such lavish pensions would still create gravity for the self-serving types who just don't think as big.
Your "genius" friend doesn't know much about the economics of congress.
For example, Nancy Pelosi's net worth while in Congress has been going up by far more than $1M/year.