Fox News predicted his 70K minimum salary idea would fail. He proved them wrong—by a lot.

In 2015, Gravity Payments CEO Dan Price had a life-changing epiphany.

Price, who founded Gravity with his brother in 2004, was out hiking in the Cascade Mountains with his friend, Valerie. She told him her landlord had raised her rent by $200 and she was struggling to get by on her $40,000 a year income. Price, who was making $1.1 million a year as CEO of Gravity, was struck by her story. Not only did he feel for Valerie—a military veteran working two jobs and barely making ends meet—realized that some of his own employees might be facing similar struggles.

And they were. One employee frankly told him his entry-level salary was a rip-off. Another employee had secretly been working at McDonald's outside of work hours to make ends meet. So Price decided to make a drastic change by investing in his employees.

He researched how much money the average person would need in order to live comfortably and settled on $70,000 a year. In one fell swoop, he dropped his own salary to that amount, while also making it the minimum salary for anyone who worked at Gravity.

The move drew media coverage—and dire predictions from pundits. On Fox News and other conservative outlets he was called "foolish," a "socialist" and a "lunatic of lunatics." Rush Limbaugh called the company policy "pure unadulterated socialism" that was "going to fail" and should be a case study in MBA programs on how socialism doesn't work. Talking heads predicted that his employees would end up in the welfare line.

Six years later, Price has proved the haters wrong—by a lot.


Sharing a video with clips from those outspoken detractors on Twitter, Price wrote:

"6 years ago today I raised my company's min wage to $70k. Fox News called me a socialist whose employees would be on bread lines. Since then our revenue tripled, we're a Harvard Business School case study & our employees had a 10x boom in homes bought.

Always invest in people."

He then added:

"Since our $70k min wage was announced 6 years ago today: Our revenue tripled, headcount grew 70 percent, customer base doubled, babies had by staff grew 10x, 70 percent of employees paid down debt, homes bought by employees grew 10x, 401(k) contributions grew 155 percent, [and] turnover dropped in half."

The business is thriving, his employee numbers have grown from 130 to 200, and they've expanded to a second office in Boise, Idaho. And perhaps most notably, the highest-paid employee makes four times the salary of the lowest-paid employee, not 33 times.

The benefits of taking care of his employees extended into the pandemic, which led to the company taking a 55% revenue hit overnight. Rather than lay people off—with Gravity has never done in its 17-year history—Price held a call with his employees and explained the company's situation. He didn't want anyone to lose their job, and he also didn't want to jack up prices on the small businesses that relied on their services.

In response, nearly every employee offered to take a temporary, voluntary pay cut, ranging from 5% to 100%. That's the kind of loyalty money and support can buy. And it worked—those employees have been repaid and the company is now giving out raises.

Price is outspoken about his company's success because he believes it's a model other companies should follow if they are able. CEO salaries have risen 940% since 1978, while average worker salaries have only risen 12%. The longer that discrepancy goes on, the more normal it becomes in people's minds, but Price is on a mission to disrupt that norm and convince people that paying employees well pays off in a multitude of ways.

Price says he doesn't miss anything about the millionaire lifestyle he lived prior to his pay cut. "Money buys happiness when you climb out of poverty," he wrote on Twitter. "But going from well-off to very well-off won't make you happier. Doing what you believe is right will."

Investing in people is what Price believes is right, and he's lived that belief—successfully—for six years and counting.

The pandemic has revealed how much money there truly is at the top, as billionaires got 54% richer over the past year and while millions of people took devastating financial hits, and large company CEOs received huge bonuses while laying off lower-level employees. Let's encourage more corporate leaders to take a page out of Dan Price's book and invest in the people who made them successful in the first place. Those investments can pay off big time, as Price—and now others—have repeatedly proven.

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Some 75 years ago, in bombed-out Frankfurt, Germany, a little girl named Marlene Mahta received a sign of hope in the midst of squalor, homelessness and starvation. A CARE Package containing soap, milk powder, flour, blankets and other necessities provided a lifeline through the contributions of average American families. There were even luxuries like chocolate bars.

World War II may have ended, but its devastation lingered. Between 35 and 60 million people died. Whole cities had been destroyed, the countryside was charred and burned, and at least 60 million European civilians had been made homeless. Hunger remained an issue for many families for years to come. In the face of this devastation, 22 American organizations decided to come together and do something about it: creating CARE Packages for survivors.

"What affected me… was hearing that these were gifts from average American people," remembers Mahta, who, in those desperate days, found herself picking through garbage cans to find leftover field rations and MREs to eat. Inspired by the unexpected kindness, Mahta eventually learned English and emigrated to the U.S.

"I wanted to be like those wonderful, generous people," she says.

The postwar Marshall Plan era was a time of "great moral clarity," says Michelle Nunn, CEO of CARE, the global anti-poverty organization that emerged from those simple beginnings. "The CARE Package itself – in its simplicity and directness – continues to guide CARE's operational faith in the enduring power of local leadership – of simply giving people the opportunity to support their families and then their communities."

Each CARE Package contained rations that had once been reserved for soldiers, but were now being redirected to civilians who had suffered as a result of the conflict. The packages cost $10 to send, and they were guaranteed to arrive at their destination within four months.

Thousands of Americans, including President Harry S. Truman, got involved, and on May 11, 1946, the first 15,000 packages were sent to Le Havre in France, a port badly battered during the war.

Thousands of additional CARE Packages soon followed. At first packages were sent to specific recipients, but over time donations came in for anyone in need. When war rations ran out American companies began donating food. Later, carpentry tools, blankets, clothes, books, school supplies, and medicine were included.

Before long, the CARE Packages were going to other communities in need around the world, including Asia and Latin America. Ultimately, CARE delivered packages to 100 million families around the world.

The original CARE Packages were phased out in the late 1960s, though they were revived when specific needs arose, such as when former Soviet Union republics needed relief, or after the Bosnian War. Meanwhile, CARE transformed. Now, instead of physical boxes, it invests in programs for sustainable change, such as setting up nutrition centers, Village Savings and Loan Associations, educational programs, agroforestry initiatives, and much more.

But, with a pandemic ravaging populations around the world, CARE is bringing back its original CARE packages to support the critical basic needs of our global neighbors. And for the first time, they're also delivering CARE packages here at home in the United States to communities in need.

Community leaders like Janice Dixon are on the front lines of that effort. Dixon, president and CEO of Community Outreach in Action in Jonesboro, Ga., now sends up to 80 CARE packages each week to those in need due to COVID-19. Food pantries have been available, she notes, but they've been difficult to access for those without cars, and public transportation is spotty in suburban Atlanta.

"My phone has been ringing off the hook," says Dixon. For example, one of those calls was from a senior diabetic, she remembers, who faced an impossible choice, but was able to purchase medicine because food was being provided by CARE.

Today, CARE is sending new packages with financial support and messages of hope to frontline medical workers, caregivers, essential workers, and individuals in need in more than 60 countries, including the U.S. Anyone can now go to carepackage.org to send targeted help around the world. Packages focus on helping vaccines reach people more quickly, tackling food insecurity, educational disparities, global poverty, and domestic violence, as well as providing hygiene kits to those in need.

From the very beginning, CARE received the support of presidents, with Hollywood luminaries like Rita Hayworth and Ingrid Bergman also adding their voices. At An Evening With CARE, happening this Tuesday, May 11, notable names will turn out again as the organization celebrates the 75th Anniversary of the CARE Package and the exciting, meaningful work that lies ahead. The event will be hosted by Whoopi Goldberg and attended by former Presidents Barack Obama, George W. Bush, Bill Clinton, and Jimmy Carter, as well as Angela Merkel, Iman, Jewel, Michelle Williams, Katherine McPhee-Foster, Betty Who and others. Please RSVP now for this can't-miss opportunity.

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Seeing someone who has a long record of sobriety—especially after a very public struggle—can be motivating and inspiring for others in different stages of their recovery journey. That's part of why actor Rob Lowe's announcement that he's reached 31 years sober is definitely something to celebrate.

"Today I have 31 years drug and alcohol free," Lowe wrote on Twitter. "I want to give thanks to everyone walking this path with me, and welcome anyone thinking about joining us; the free and the happy. And a big hug to my family for putting up with me!! Xoxo"

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Photo by Daniel Schludi on Unsplash
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The global eradication of smallpox in 1980 is one of international public health's greatest successes. But in 1966, seven years after the World Health Organization announced a plan to rid the world of the disease, smallpox was still widespread. The culprits? A lack of funds, personnel and vaccine supply.

Meanwhile, outbreaks across South America, Africa, and Asia continued, as the highly contagious virus continued to kill three out of every 10 people who caught it, while leaving many survivors disfigured. It took a renewed commitment of resources from wealthy nations to fulfill the promise made in 1959.

Forty-one years later, although we face a different virus, the potential for vast destruction is just as great, and the challenges of funding, personnel and supply are still with us, along with last-mile distribution. Today, while 30% of the U.S. population is fully vaccinated, with numbers rising every day, there is an overwhelming gap between wealthy countries and the rest of the world. It's becoming evident that the impact on the countries getting left behind will eventually boomerang back to affect us all.

Photo by ismail mohamed - SoviLe on Unsplash

The international nonprofit CARE recently released a policy paper that lays out the case for U.S. investment in a worldwide vaccination campaign. Founded 75 years ago, CARE works in over 100 countries and reaches more than 90 million people around the world through multiple humanitarian aid programs. Of note is the organization's worldwide reputation for its unshakeable commitment to the dignity of people; they're known for working hand-in-hand with communities and hold themselves to a high standard of accountability.

"As we enter into our second year of living with COVID-19, it has become painfully clear that the safety of any person depends on the global community's ability to protect every person," says Michelle Nunn, CARE USA's president and CEO. "While wealthy nations have begun inoculating their populations, new devastatingly lethal variants of the virus continue to emerge in countries like India, South Africa and Brazil. If vaccinations don't effectively reach lower-income countries now, the long-term impact of COVID-19 will be catastrophic."

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