Globe and Mail: Why Raise the minimum wage? Just ask Costco . . .

[kevinbgoode1]

The Canadian national newspaper Globe and Mail published an excerpt from The Responsible Entrepreneur: Four Game-Changing Archetypes for Founders, Leaders, and Impact Investors by Carol Sanford, updated in today's edition.

Ironically, research has consistently shown that businesses that provide wages considered fair by workers experience not only solid returns but active worker participation.

Costco’s business model is based on the idea that hanging onto its employees gives the company the leverage it needs to manage overhead. Many high-volume retailers and fast-food franchisers expect high turnover and irresponsibility in their work force. This arises from the assumption that workers are interchangeable – commodities, if you will.

Costco, by contrast, is able to attract and retain lifelong employees who are highly motivated and require minimal management. Treating its employees as loyal and independently intelligent beings is great for productivity and innovation.

Quite an interesting, and short, realistic explanation of the need for fair wages!

http://www.theglobeandmail.com/report-on-business/careers/careers-leadership/why-raise-the-minimum-wage-just-ask-costco/article20839767/?click=sf_globefb#dashboard/follows/?click=drive

[valerief]

1. Just look at the Market Basket employees who fought, with the support of MB

customers, to save their CEO and thus save their working conditions (and ultimately save their jobs). If Arthur T. had treated his employees like the usual CEO, they would have said, "Fuck it. Take your sucky job."

[jamzrockz]

2. Costco can try their method

on retail grocery sector and see how successful they will be. Its a bit easier when you are selling semi whole sale packaging. Also, they cater to middle to upper class clients, so this is not exactly your neighborhood grocery chain.

Believe me, if it was more profitable for walmart to pay their employees a living wage, they will do it without anyone prompting them.