[LostInBayport]

what happens when if/when the company goes under, and that receptionist making $70k has to go back to making $20k?

They may just find out: over the next three years, every single employee — even the lowest paid clerk — will be paid a minimum annual salary of $70,000

It would be interesting to see where these people are in four years time if at that time the owner decides he can't sustain this; who has savings and investments, who has a mountain of bills.

As another FReeper posted above, a savvy competitor can undercut him by paying staff half as much and offering lower prices.

[RipSawyer]

The worst part about all of it is that $70,000. a year is NOT a lot of money any longer. Back in 67 as a 23 year old Navy vet with a high school education I was making $5,720. a year plus great benefits and that bought more than $70,000. does now. I was driving a new Mustang that cost me $3,000 and renting a three bedroom brick house for $70. a month. By age 25 I was at $7700 a year which was a far greater income than $70,000 is now plus a benefit package that would be worth probably $25000 a year now.