Gravity: the fall to earth

Dan Price; 'Seemed like a good idea at the time.'

The Seattle CEO [of Gravity Payments] who raised salaries for all of his employees to a minimum of $70,000 a year, drawing accusations of socialism, now says he has fallen on hard times.

Who's happy now?

“I’m working as hard as I ever worked to make it work,” he said, The Times reported Friday. “I’m renting out my house right now to try to make ends meet myself.”

Not some of his most valued employees;

“He gave raises to people who have the least skills and are the least equipped to do the job, and the ones who were taking on the most didn’t get much of a a bump,” said Maisey McMaster, 26, Gravity’s financial manager, the Times reported.

Ms. McMaster, who has now quit the company, said that when she approached Mr. Price with her concerns about the wage changes, he treated her as if she was being selfish.

“That really hurt me,” she said, the Times reported. “I was taking about not only me, but everyone.”

Another who quit cited the disincentives to productivity Price created;

“Now the people who were just clocking in and out were making the same as me,” he told The Times. “It shackles high performers to less motivated team members.”

Not to mention his own brother, and co-owner of the firm. He's suing, claiming misuse of funds to the tune of millions of dollars. The legal fees alone could ruin Gravity Payments.