Posted on 08/03/2015 1:23:28 PM PDT by Kaslin
RUSH: Do you remember that guy in Seattle that owned the credit-card processing firm, Gravity Payments? This guy, Dan Price, made news back in April by announcing... He was making a million dollars a year plus as the CEO, and he made a big announcement with a lot of fanfare saying he had made a major decision. He read somewhere that $70,000 a year is the magic number for an employee to make, that with $70,000 a year you can pay your monthly bills. You can buy a car, have a decent house, a place to rent, and have disposable income left over. So he made the decision that every one of these employees was going to be paid $70,000 a year, including him. He was gonna take a pay cut from million plus down to $70,000 a year.
BREAK TRANSCRIPT
RUSH: This guy Dan Price, a lot of people said, "What a great guy! Wow, this is a guy who gets it!" You know, the left is out there always talking about the inequality in what CEOs make versus what their grunt employees make. So this guy came along and he bought into that, and he heard that 70 grand a year was a magic number for employees. Everybody could live comfortably on that, with no stress, or at least as little stress as possible.
He just made it across the board. In addition to people who praised him with, "Oh, wow, what a great guy, equality at a corporation; does this guy get it." There were some, including me, who said, "This is gonna bomb. It's gonna bomb in ways this guy hasn't even factored. It's not gonna help his business. It's not gonna lead to a happy, unified, focused workforce. It's gonna be divisive. It's gonna create resentments. It's gonna create all kinds of problems. And at the end of whatever test period, if there is one, it isn't gonna work."
Well, Mr. Price has come forward to announce that it was a disaster, exactly as I and others predicted.
BREAK TRANSCRIPT
RUSH: So, anyway, back to Dan Price. I got these Trump calls out of the way. I was shocked. I was literally shocked. Here I gave 20 minutes of brilliant, great, compassionate, on-the-money analysis of Trump and the debate Thursday, and here come a bunch of people (crying), "You criticized Trump !You criticized Trump! Trump's gonna do well! What did you say?" I'm left thinking, "What did I say?" You all were hearing me in there. Did I criticize Trump in any of that? I mean, maybe it wasn't a compliment, but I kind of meant it that way.
I'm all for these formats being blown to smithereens. I think all of this becomes too controlled, and I think it all becomes... The way these debates happen... There have been enough of them now. We've seen them our whole lives. We know what happens. These are establishment-run affairs, and they are designed to end up with an establishment candidate, and anything that blows that up is fine and dandy with me.
So we'll just have to see. As I said right before the end of the previous hour, Trump is out there... I don't know who asked him, but he's being quoted as saying, "I don't think I'm gonna throw any punches on Thursday," whatever that means. But time will tell. I think it's a pretty safe bet that this debate is not gonna be like others that we have seen.
Now, back to can Price. Look, folks, this is a teachable moment. This is a big, big, big teachable moment, because one of the things -- one of the many things -- as we try to keep up with the left every day, is they get on this tear that CEOs are making way too much money and they're making so much more than their employees. "It's not fair, and it isn't right, and it's hurting the company! It's not helping America." So there's a guy in Seattle that runs a credit-card processing company by the name of Gravity Payments.
His name is Dan Price, and he read somewhere that $70,000 a year is an ideal salary. If you earn 70 grand, you can have a nice car. You can rent a nice place to live and have some disposable income left over, and it's a number where people feel good. Seventy grand a year. If they're making that kind of money, they think they're respected by their boss and so forth. So he made the decision he's gonna pay everybody 70 grand. Every one of his employees was going to make the exact amount of money, including him.
I think this guy owed someone money and made this idiotic decision to make a point....He isn’t going to pay, as he has no means...
Did this guy ever take an economics course?
He broke his abacus...
WTF were you thinking??!!
I read the top two guys in his firm left immediately because they were being paid the same as those not doing the work.
Anyone pretty much could see this coming.
I think he’s simply the result of the American educational system. Look at a lot of Youtube advertizing. It regularly features people with pie in the sky ideas that will change the world in wide eyed wonder too.
Those people learned ignorance. And they learned it fro liberal business/economics teachers in liberal schools.
It’s the exact same mentality that leads people to ‘know’ that they can be any or all of 53 genders, ban flags and think lions really speak English when no one is within earshot.
There is a point when the salary spread gets to high, the GAF for the workers is so low nothing happens. There is also a point where the spread is to thin (as Mr Price just found out) where the ones who work just leave, and you’re left with a bunch of people who have no incentive to do anything.
A very teachable moment, but one that goes both ways.
I would two...
Probably recently... that's likely where he got the idea/philosophy from!
Yep...me too.
;-)
Life is full of fools acting on something they read somewhere, without thinking it over. "Ideal" means something different to people based on circumstances and locale. If you live in a low-rent area, have no kids, and live within your means you can do well with only a third of that. If you like the finer things in life and rack up credit bills, then you're going to need two to three times as much.
If this CEO wanted to improve things for his workers, he should have built worker housing on company property and provided free meals for staff. This would have worked out better than his socialist formula.
Obviously, his $70K salary did not allow him to afford visits to a barber. Looks like a bum.
It would seem likely this guy wasn’t the brains of the operation...
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