Seattle CEO to cut his pay so every worker earns $70,000

[af1 1982]

Humans are never ******* satisfied with ****

Why settle when you can strive for greatness?

 

[nawghtyhare]

Humans are never ******* satisfied with ****

Why settle when you can strive for greatness?

cause some ****** just ain't destined for greatness

 

[Chiron]

Dumbest thing I've ever heard.

Why? 70k is plenty to live on in MOST places. It'll force the price of everything down when bazillionaires aren't skewing supply and demand.

 

[af1 1982]

Why? 70k is plenty to live on in MOST places. It'll force the price of everything down when bazillionaires aren't skewing supply and demand.

You're describing such extreme cases.

Why would I settle for 70k? What motivation do i have to continue to perform in my job if I know there's a ceiling for me.

Love it or hate it, were hard wired to be motivated by money.

 

[RustyShackleford]

I'm a borderline socialist, but a wage ceiling is a horrible idea IMO

 

[af1 1982]

I'm a borderline socialist, but a wage ceiling is a horrible idea IMO

Exactly. I'm all for helping one another out and giving opportunities to those who don't have any.

But to say that this country needs a wage ceiling is laughable this is 2015 America.

You wanna make money, the opportunity is there for most.

 

[capital sb]

70k bro?

Where do you live thinking thats a good idea??

He lives in Cali really don't mind him he lives in a fantasy world.

 

[nazdrowie]

70k in cali won't get you that house on the beach like everyone there wants...

 

[zapatohead408]

70K a year won't get you a house in the bay area.

 

[therealrell]

Rell didn't you call this a few months back on Twitter?

I honestly don't know what I commented on, but I knew that it would cause strife within in the company. His seasoned employees have the right to feel how they do about lesser experienced, lesser skilled and slackers now making the same as them. The latter no longer have an incentive to work hard because they are guaranteed a higher salary instead of having to earn it. Its not like he can fire people and risk high turnover either. With an already smaller company, he's already had veterans leave because his new policy is unfair to them. Their earning potential has been capped while someone who doesn't have the same resume as them can only see their yearly pay go up. There's nothing greedy about that. It is just like doing a group project, you put in all the work, yet someone who didn't also gets an A. Why stay?

Also, the initial article left out a key fact; he shares the company with his brother. While he owns more shares, he went about this in a snake way. His ideals were good, but the execution was poor. Increasing salary by a percentage and offering better benefits would have been better than giving all 120 employees 70k/year.

 

[friscostylez]

yeah dude was definitely high af when he came up with this idea.

 

[mr jordan04]

If you guys think people are lazy now, wait til they're GUARANTEED 70k. No dambs given for sure

 

[stihl]

If you guys think people are lazy now, wait til they're GUARANTEED 70k. No dambs given for sure

It's already happened. Since the recent $15 minum wage, employees are asking their employers for less hours so they could still qualify for welfare.

 

[Coromanti]

If you guys think people are lazy now, wait til they're GUARANTEED 70k. No dambs given for sure

....I dont think you understand management principles.

Typically workers follow the example of the higher ups.

If the middle and upper management are lazy, or otherwise unconcerned with customer service and satisfaction they will fall in line.

However if middle and upper management build a culture of top notch service (along with repercussions for those who dont) the employees will fall in line.

Literally management 101.

 

[jayzz]

It's already happened. Since the recent $15 minum wage, employees are asking their employers for less hours so they could still qualify for welfare.

Did I miss this or are all my checks wrong or how does this work

 

[snax91]

Did I miss this or are all my checks wrong or how does this work

$15 is the minimum wage in Seattle now.

 

[capital sb]

 
It's already happened. Since the recent $15 minum wage, employees are asking their employers for less hours so they could still qualify for welfare.

Wow that is crazy

 

[mr jordan04]

If you guys think people are lazy now, wait til they're GUARANTEED 70k. No dambs given for sure

....I dont think you understand management principles.
Typically workers follow the example of the higher ups.
If the middle and upper management are lazy, or otherwise unconcerned with customer service and satisfaction they will fall in line.

However if middle and upper management build a culture of top notch service (along with repercussions for those who dont) the employees will fall in line.
Literally management 101.

So it's all the managers fault?

There are so many people that do just enough to get by to not get fired. Some people have no goals or ambitions, and just come in to do the bare minimums. People all have different work ethics and outlooks on life/work

 

[blco02]

I told yall this wouldn't work. Here's an update from the CEO:

http://www.washingtontimes.com/news/2015/aug/1/dan-price-seattle-ceo-who-set-company-minimum-wage/

 

[sharpshooter718]

70k a yr can't get u a house in East New York

 

[AZwildcats]

70k a yr can't get u a house in East New York

Why would you want to live there anyways? 

 

[RustyShackleford]

I told yall this wouldn't work. Here's an update from the CEO:

http://www.washingtontimes.com/news/2015/aug/1/dan-price-seattle-ceo-who-set-company-minimum-wage/

-You told us? Maybe I missed it, quote your previous post in this thread spelling out why this will fail

-Your source is a known right-wing biased paper.

-This failed because of people's greed, and irrational fear. Some hated it and left, for others it was life changing

-Lastly your article tries to paint it as this is such a failure because dude as to rent out his house now. But they fail to mention that the CEO is getting sued by his brother, and those legal cost and what is pinching him

-Read the Times article. What is really hurting the company is the lawsuit from his brother

 

[Fong$tarr]

I will say this. In order for someone to make money, someone else has to not make money. Equal pay in a company doesn't always pan out for the person that wants more. Every company and even department has a budget to work with. You can't just give high raises to everyone. That is why a lot of companies have review systems where people have to fail. It's kind of like the curve system when grading papers. The top person sets the bar which drastically effects others below them. By the end of it, there has to be a percentage that fails. IThe top person will get the large bonus where the remaining will get standard ones and the ones below that get nothing. The business saves on those that don't meet that top performance.

 

[blco02]

This will fail in the long run. No incentive for working hard to make 70k? Productivity will drop big time after a couple years.

Socialism never works, people.

From the article:

Now Mr. Price says the decision has cost him a few customers and two of his “most valued” employees, who quit after newer, less skilled employees ended up with bigger salary hikes than those who had been working longer for the company.

“He gave raises to people who have the least skills and are the least equipped to do the job, and the ones who were taking on the most didn’t get much of a a bump,” said Maisey McMaster, 26, Gravity’s financial manager, the Times reported.

Ms. McMaster, who has now quit the company, said that when she approached Mr. Price with her concerns about the wage changes, he treated her as if she was being selfish.

“That really hurt me,” she said, the Times reported. “I was taking about not only me, but everyone.”

Grant Moran, 29, also quit after the pay changes were enacted.

“Now the people who were just clocking in and out were making the same as me,” he told The Times. “It shackles high performers to less motivated team members.”

 

[RustyShackleford]

Go read the Times article they are quoting.

And you'll find gems like these:

For now, at least, Mr. Price has undoubtedly made an immediate difference in the lives of many of his employees. José Garcia, 30, who supervises an equipment team, was able to afford to move into the city and replace the worn tires on his car. Ms. Ortiz, who was briefly homeless as a child, can now visit her family in Burlington, Vt. Cody Boorman, 22, who handles operations out of his eastern Washington home, said he and his wife finally felt financially secure enough to start a family.

There have been other ripples. Mario Zahariev, who runs Pop’s Pizza & Pasta, switched to Gravity after seeing Mr. Price on the news. When he learned his monthly processing fees would drop to $900 from $1,700, Mr. Zahariev decided, “I was not going to keep the difference for myself.” He used the savings to raise the salaries of his eight employees.

Pop’s Pizza aside, Mr. Price’s plan is not easily replicated, said Nick Hanauer, a Seattle venture capitalist and an early promoter of the city’s $15 minimum wage law. Still, he noted, “These individual acts can create a new kind of perception of what’s possible and what’s righteous.” After all, he said, two years ago, no one would ever have guessed higher minimum wage laws would be catching fire in cities around the country. “Who can tell what that last thing is that catalyzes big change?”

-Some employees where mad that their raised weren't as big as others and got pissed off. Basically some childish "he got more cereal than me" steez