Seattle CEO Pledges to Pay EVERY Employee $70,000
Dan Price makes about $1 million a year from the Seattle company he founded Gravity Payments. They handle credit card payments and it is growing fast. Price discovered scientific research that found people are happiest at around $70,000 a year. "We can afford that," he thought.
Yes, it's a publicity stunt. And yes, technically the research says people are happiest at $75,000 a year, but Price has pledged to lower his own salary to help pay for it. He's not convinced he's more happy since he surpassed $75,000, and he's tired of all the news about greedy CEOs and hard-working Seattleites fighting to stay afloat with rising rent and a sluggish economy.
The salary increases will be phased in over three years, partly paid for with the growth of the company. He won't raise his own salary until profits grow past start-of-2015 levels.
And yes, he plans to pay EVERY employee $70,000. The average salary for the 120 employees in his company is $48,000.
It was one of those "be the change you want to see in the world" decisions, he told the New York TImes.
I predict his staff is going to work harder and better than ever before and some of the most talented people in North America will apply for every opening. He'll probably make this money back pronto.