Gravity Payments Company Culture and Salary Changes

The video discusses the impact of a bold salary policy change at Gravity Payments, a credit card processing company. CEO Dan Price raised the minimum salary to $70,000, cutting his own salary significantly. This move led to positive outcomes like increased employee satisfaction, productivity, and revenue, but also some challenges, such as losing senior staff. The company gained publicity and new clients, and employees showed appreciation by gifting Price a Tesla. The long-term success of this strategy remains to be seen.

What is the primary business of Gravity Payments?

• Credit card processing

• Retail sales

• Software development

• Financial consulting

What significant change did Dan Price announce for Gravity Payments employees?

• Introduction of a new dress code

• Increase in minimum salary to $70,000

• Expansion to international markets

• Reduction in working hours

How did the salary increase affect Corine Ward's lifestyle?

• She moved closer to work

• She could afford a new car

• She traveled abroad

• She started a new business

What was one negative effect of the new salary policy at Gravity Payments?

• Reduction in client base

• Increase in employee turnover

• Loss of senior staff

• Decrease in company revenue

What was the reported increase in revenue for Gravity Payments after the salary change?

• 50%

• 60%

• 75%

• 80%

What did Harvard Business School attribute some of Gravity Payments' success to?

• Increased marketing efforts

• Advanced technology adoption

• Higher employee productivity

• New management team

How did Tom Osborne, a client, view the changes at Gravity Payments?

• As a negative impact on service

• As a positive influence on staff motivation

• As irrelevant to his business

• As a reason to switch providers

What did the employees of Gravity Payments do to show their appreciation for Dan Price?

• Wrote him a thank-you letter

• Bought him a Tesla car

• Organized a company party

• Gave him a bonus

What was the value of the gift the employees gave to Dan Price?

• $70,000

• $50,000

• $90,000

• $100,000

What is the long-term uncertainty mentioned regarding Dan Price's strategy?

• Whether it will cause legal issues

• Whether it will lead to bankruptcy

• If it will result in a merger

• If it will be adopted by other companies