I believe that executive pay caps are always justified. It's kind of sad and disgraceful when an executive is making millions of dollars a year and his or her employees are making minimum wage. There should be a cap in place to keep things fairer and to lower corruption in a business.
Executive pay caps keep the wages of the highest paid employees of an institution within a set ratio to the pay of the lowest-paid workers. These caps are justified because they ensure that the highest-paid workers (who often are the ones making decisions about salaries) never create too much of a gap between their compensation and that of their workers. It helps prevent exploitation, and reflects increased equality in the rest of society.