Posted on 04/14/2015 10:51:42 AM PDT by Red Badger
And its founder is taking a big pay cut to make it happen
Credit card processor Gravity Payments is making its minimum wage $70,000 a year, the New York Times reports. Founder Dan Price recnetly announced the ambitious plan to a room of about 120 staffers.
The raises will take place over the next three years, with about 70 Gravity employees set to see fatter paychecks because of the new policy. Price himself is taking a pay cut from about $1 million to $70,000 to help make it happen. The reason: He read an article that more money for people who make less than $70,000 leads to increased happiness.
The happiness research comes from Angus Deaton and Daniel Kahneman, who won a Nobel Prize for his psychology research in the past. From the Times:
They found that what they called emotional well-being — defined as “the emotional quality of an individual’s everyday experience, the frequency and intensity of experiences of joy, stress, sadness, anger, and affection that make one’s life pleasant or unpleasant” — rises with income, but only to a point. And that point turns out to be about $75,000 a year.
The news comes as Wal-Mart announced pay hikes for its workers in February. The retail giant said it will raise the pay of 500,000 workers to $9 an hour in 2015 and to $10 an hour next year. There have been calls to make $15 per hour the minimum wage in recent months.
I’m gonna LMOAO when these folks get their next tax bill.
Probably so.
Landscaping as well..............
So will they..................
Most large companies have a lot of dead weight. Not as much with smaller private concerns. Fortune 500 I worked for had, it seemed, about 1 million V.P.’s. We used to try to figure out what they did all day except send emails and bother us. Really like Dilbert.
I agree that it is very expensive to hire and train new people but it is also becoming more and more difficult to fire someone. Loyalty works both ways and it seems to me from watching what has happened to some people that I know it isn’t what it used to be.
If this works true to form, not all of the employees will be retained at that price. Expectations must be high if the company is to remain healthy.
I wonder if they have a lot of contract employees?............
It was easy to tell the dead weight because they were the ones constantly calling meetings, attending meeting and, worst of all, dragging out meetings which you couldn't avoid attending.
My best boss during that era had a standing agreement with me that if we were caught in a meeting for more than ten minutes after the scheduled finishing time, we would call the other back to the office due to great emergency. Said emergency generally had something to do with getting real work done.
#30 Either you work for Apple or Scientology : )
Ever try to raise a family on $70,000 per year in Seattle.
CANNOT BE DONE. Not a chance. Things are VERY EXPENSIVE there. The least he can do is pay his workers a LIVING WAGE, so they don’t have to suffer the indignity of telling their children that Santa won’t come this year.
Nope. But Steve Jobs was one of our early customers. I did get to work with him (he was the customer) just before and during the rise of PIXAR.
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