CEO cuts his pay by almost $1M to give his employees big raises

#1

Post by lavamantis » Thu, Apr 16, 2015, 2:33 PM UTC

CEO cuts his pay by almost $1M to give his employees big raises
latimes.com

Re: CEO cuts his pay by almost $1M to give his employees big raises

#2

Post by icpmacdo » Thu, Apr 16, 2015, 2:48 PM UTC

Given this is the fourth time I have seen this on the front page I think it must be worth it for the free advertising alone.

Re: CEO cuts his pay by almost $1M to give his employees big raises

#3

Post by crimsonalucard » Thu, Apr 16, 2015, 2:52 PM UTC

What about options? Does the CEO get options that raise his wage to a height that is still unfair?

Re: CEO cuts his pay by almost $1M to give his employees big raises

#4

Post by chatmasta » Thu, Apr 16, 2015, 2:53 PM UTC

Ten bucks says gravity payments will be for sale within a year. This is an obvious PR ploy and I'm surprised HN is vulnerable to it.

Re: CEO cuts his pay by almost $1M to give his employees big raises

#5

Post by CapitalistCartr » Thu, Apr 16, 2015, 2:56 PM UTC

crimsonalucard wrote: post #3

What about options? Does the CEO get options that raise his wage to a height that is still unfair?

"Price, who started Gravity Payments out of a dorm room when he was 19, wholly owns and operates the company . . . "

Besides, what is fair?

Re: CEO cuts his pay by almost $1M to give his employees big raises

#6

Post by nearmiss » Thu, Apr 16, 2015, 2:57 PM UTC

chatmasta wrote: post #4

Ten bucks says gravity payments will be for sale within a year. This is an obvious PR ploy and I'm surprised HN is vulnerable to it.

Great! Here's hoping the PR pays off. Imagine if other companies noticed it was a net gain to do this sort of thing and the practice picked up steam (unlikely/impossible I know). The horror of it all!

Re: CEO cuts his pay by almost $1M to give his employees big raises

#7

Post by leetrout » Thu, Apr 16, 2015, 2:58 PM UTC

chatmasta wrote: post #4

Ten bucks says gravity payments will be for sale within a year. This is an obvious PR ploy and I'm surprised HN is vulnerable to it.

I'll take that bet.

Re: CEO cuts his pay by almost $1M to give his employees big raises

#8

Post by bko » Thu, Apr 16, 2015, 2:58 PM UTC

This is a valiant effort but I wonder how the practical allocation of the jobs is determined. If the market salary for an employee is 50k, if you raise it to 70k, you will probably have a lot more applicants than positions. Do the current employees get grand-fathered into the job despite more qualified candidates? When hiring new employees, how do you decide among the increasing rank of equally qualified candidates?

That being said, a bump in pay will almost certainly help reduce costs associated with retention and retraining and may turn out to be a good business decision, not to mention the publicity.

Re: CEO cuts his pay by almost $1M to give his employees big raises

#9

Post by IanDrake » Thu, Apr 16, 2015, 3:02 PM UTC

Pay? Do thy mean total compensation or salary?

There are too many stories of CEOs dropping their salary to $1 just to find out later they got huge bonus, stock, and option grants.

I don't care how much CEOs make. I do care about the bogus self congratulatory PR stunts meant to dupe the heard into thinking this company is inline with their thoughts on "social justice".

Re: CEO cuts his pay by almost $1M to give his employees big raises

#10

Post by sweedy » Thu, Apr 16, 2015, 3:03 PM UTC

icpmacdo wrote: post #2

Given this is the fourth time I have seen this on the front page I think it must be worth it for the free advertising alone.

well, for a storry, covered in times, buzzfeed, cnn, herald, huffingtonpost, vox.. countles other, and even on the christianpost, i guess its not that surprising.