There is a national debate on the growing disparity between the rich and the poor. Researchers Alyssa Davis and Lawrence Mishel at the Economic Policy Institute have found the salary gap between CEO's and workers has grown at an astonishing rate:
The CEO-to-worker compensation ratio was 20-to-1 in 1965 and 29.9-to-1 in 1978, grew to 122.6-to-1 in 1995, peaked at 383.4-to-1 in 2000, and was 295.9-to-1 in 2013, far higher than it was in the 1960s, 1970s, 1980s, or 1990s.1
Although this is a critical conversation, I am interested in this question: What happens when a CEO is concerned about the emotional well-being, peace, and happiness of everyone on his team?
Dan Price put this idea into practice in a radical way. Price, the founder of Gravity Payments, made $1 million dollars a year. In comparison, there were employees who earned only $40,000. Price made the radical move to announce that over three years everyone in the company would make a minimum of $70,000. In addition, Price announced that he decided to lower his salary by $930,000.
Watch this video as Price announces that he is setting $70,000 as the minimum wage for everyone in the company and he is lowering his salary to the base.
- http://www.epi.org/publication/ceo-pay-continues-to-rise/ ↩
