Many years ago I was working in a company where every employee was eligible for a silver elite membership in CO (their mid tier level at that time with a 100% mileage bonus). I think that most big corporations would be able to get some of their employees comped.
As mentioned, if you are elite with an airline, you have a good chance to get an elite comp with another airline.
I do not know how widespread this is and how it affect non-comped elites. But keep in mind that this is usually a one time thing (there are exceptions as mentioned in the United post). Also if the person gets a comp but does not fly much, s/he is not getting much benefits or hurting others much. Also its much easier to get comped the lowest tier and almost impossible to get comped the highest tier (on United at least, but I think also for other airlines).
I do not think that Economy plus will have much effect in reducing demand for upgrades. For me, legroom is much less important than say having a middle empty seat. Matt/koko had some really good comments about this.
[This message has been edited by PG (edited 02-17-2000).]