What's the alternative, though? No salary negotiations? How does that give employees more power? I'd rather figure out a way for poor negotiators to get better at it, than take that away from everyone.
Here's Joel Spolsky on the alternative they used at Fog Creek. http://www.inc.com/magazine/20090401/how-hard-could-it-be-em... . A goal was that "A manager would have absolutely no leeway when it came to setting a salary. And there would be only one salary per level."