Thu Aug 6, 2015, 06:59 PM
Liberal_in_LA (44,397 posts)
Company that established $70K min wage - older employees disgruntled seeing new get same pay
More troubling, a few customers, dismayed by what they viewed as a political statement, withdrew their business. Others, anticipating a fee increase — despite repeated assurances to the contrary — also left. While dozens of new clients, inspired by Mr. Price’s announcement, were signing up, those accounts will not start paying off for at least another year. To handle the flood, he has already had to hire a dozen additional employees — now at a significantly higher cost — and is struggling to figure out whether more are needed without knowing for certain how long the bonanza will last.
Two of Mr. Price’s most valued employees quit, spurred in part by their view that it was unfair to double the pay of some new hires while the longest-serving staff members got small or no raises. Some friends and associates in Seattle’s close-knit entrepreneurial network were also piqued that Mr. Price’s action made them look stingy in front of their own employees. Then potentially the worst blow of all: Less than two weeks after the announcement, Mr. Price’s older brother and Gravity co-founder, Lucas Price, citing longstanding differences, filed a lawsuit that potentially threatened the company’s very existence. With legal bills quickly mounting and most of his own paycheck and last year’s $2.2 million in profits plowed into the salary increases, Dan Price said, “We don’t have a margin of error to pay those legal fees.” http://www.nytimes.com/2015/08/02/business/a-company-copes-with-backlash-against-the-raise-that-roared.html?_r=0
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7 replies, 601 views
Always highlight: 10 newest replies | Replies posted after I mark a forum
Replies to this discussion thread
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Author | Time | Post |
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Liberal_in_LA | Aug 2015 | OP |
dhol82 | Aug 2015 | #1 | |
onecaliberal | Aug 2015 | #2 | |
Beaverhausen | Aug 2015 | #3 | |
TexasProgresive | Aug 2015 | #4 | |
gratuitous | Aug 2015 | #5 | |
kelliekat44 | Aug 2015 | #7 | |
Snobblevitch | Aug 2015 | #6 |
Response to Liberal_in_LA (Original post)
Thu Aug 6, 2015, 07:07 PM
dhol82 (8,610 posts)
1. No good deed goes unpunished
What a bitch.
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Response to Liberal_in_LA (Original post)
Thu Aug 6, 2015, 07:10 PM
onecaliberal (19,622 posts)
2. This is mind boggling and representative of the
Greed and selfishness that is pervasive in this country.
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Response to Liberal_in_LA (Original post)
Thu Aug 6, 2015, 07:13 PM
Beaverhausen (23,757 posts)
3. They are getting more new customers
from the link
And the publicity surrounding it has generated tangible benefits. Three months before the announcement, the firm had been adding 200 clients a month. In June, 350 signed up. |
Response to Liberal_in_LA (Original post)
Thu Aug 6, 2015, 08:00 PM
TexasProgresive (11,649 posts)
4. Jesus spoke about this
Matthew 20:1-16 The parable of the workers in the vineyard.
This is the DU member formerly known as TexasProgresive.
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Response to TexasProgresive (Reply #4)
Thu Aug 6, 2015, 08:03 PM
gratuitous (73,068 posts)
5. Beat me to it
"Didn't you agree to work for $75,000? . . . Don't I have the right to do what I want with my own money? Or are you envious because I am generous?"
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Response to TexasProgresive (Reply #4)
Thu Aug 6, 2015, 08:18 PM
kelliekat44 (7,759 posts)
7. My mind went there immediately. So we can assume that these old farts are not Christian at least.
Just old, selfish, greedy grumps!
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Response to Liberal_in_LA (Original post)
Thu Aug 6, 2015, 08:07 PM
Snobblevitch (1,958 posts)
6. The owner of this comany changed his salary structure,
but he did not consider the unintended consequences. Long-term, loyal employees had a right to be bothered by this move. He should have done this on a more gradual basis and considered basing pay on experience and how long a person had been employed and doing good work for his company.
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