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Gravity Payments CEO Dan Price Raises Minimum Wage
Capitalist World's Sore Spot
US CEOs earn 331 Times as much as Average workers
774 Times as much as Minimum Wage workers
US Government's Efforts
2010 – US Congress directed SEC to require public companies to provide information on ratio of CEO pay to average employee wages.
Mandate put on hold after corporate executives strongly opposed it.
Finally approved in August, 2015.
Gravity CEO Dan Price's Solution To Pay Inequality?
Raises minimum wage of all employees to $70,000/year
“...The idea to almost double the minimum pay of my employees started after a friend shared how hard it is to pay rent and student loans and make ends meet on a $40,000 annual salary...” Dan Price, CEO.
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Skeptics branded Mr. Price as Socialist.
Divided opinions among staff and clients.
Partial Employee Support
Mixed Emotions In Higher Ranked Staff
Some clients unhappy since they expect to suffer higher charges or poor customer service.
Some remain loyal, while others who share same vision as Price also signing on with Gravity Payments.
To enforce this raise, Dan Price reduced his salary from roughly $1 million to $70,000.
Dan Price now leasing his house to make ends meet.
He's now being sued by his brother, Lucas Price, on charges of ignoring the latter's rights as minority shareholder before making this decision.
Other Side Of The Coin
Some claim extent of pay gap problem to be exaggerated.
Even if only 0.8% of Americans earn Minimum wage according to statistics, CEOs still earn 331 times more than Average workers.
So, are you with Mr. Price? Or are you part of the other side of the coin?