CEO Who Cut His Own Salary Gives New Employees Immediate $10K Raise, with $30K to Follow
Dan Price, the CEO who slashed his own salary in 2015 to boost his company’s minimum salary to $70,000 a year, has done it again.
The 35-year-old is the head of Gravity Payments, a credit card processing company in Seattle that acquired Idaho company ChargeItPro three years ago, according to ABC News. With the Idaho-based employees recently moving into a new office building, Price flew in to make a visit, and had surprise announcement to go along with it — he was giving all employees earning the current minimum salary a $10,000 raise with plans on raising it to a minimum of $70,000 by 2024.
“This morning we cut the ribbon on the new @GravityPymts Boise office AND announced that all of our employees here will start earning our $70k min salary,” Price announced on Twitter on Tuesday. “I’m so grateful to work with this amazing team and to be able to compensate them for the value they bring to our community.”
A majority of the employees were making below $30,000, ABC News reported, so more than doubling their salary in a matter of years will unquestionably be life-changing.
Price initially made shockwaves in 2015 when he increased the minimum wage of the employees in Gravity’s Seattle office to $70,000, and cut his own $1 million salary by 90 percent.
“I’m sick of being part of the problem, I want to be part of the solution,” Price said at the time, according to ABC News. “Previously, I was making a million dollars a year and people working for me were making $30,000 a year and that’s wrong, I was feeding into the problem.”
In a post to Instagram on Wednesday, Price said giving up his million-dollar salary to benefit his employees was not an “unreasonable sacrifice.”
“A lot of people think giving up a million dollar a year salary and millions in profit is an unreasonable sacrifice to pay a living wage and give small businesses white-glove service,” Price wrote. “Well, I am proof of one thing. It is worth it.”
The Idaho employees were understandably excited, and Price says he has already heard from them how the raise has benefited their lives.
“I heard from somebody who was a single parent,” he told ABC, “that they were not necessarily going to need to work two jobs anymore and they were going to be a better parent.”