I was reading Fast Company this month – one of my favorite business magazines. On the last page (112) there is a story about Whole Foods CEO, John Mackey and his decision to reduce his salary to $1. Mackey claims to have made more money than he ever dreamed, or needs, and therefore will not be working for money anymore. He has forfeited his salary – except for $1 per year.
In addition, any future stock options he would have been eligible for are being donated to Whole Foods 2 foundations AND $100,000 per year will be deposited annually into a Global Team Emergency Fund to be distributed to employees based on need.
WOW – you don’t see that move very often. It’ true that many founders and CEOs have more money than they need,or dreamed of, yet they continue to get paid. Many value themselves on their take how pay. I wonder why John Mackey made this decision?
I am not sure how I feel about it either. One the one hand its a very benevolent move and it demonstrates a true passion fr his business.
On the other hand, does it diminish his value as a CEO or enhance it. I don’t know yet. It certainly is risky. Of course his employees will love it. I do love his commitment to the foundations and the creation of the Emergency Fund. I’m curious about your opinion on his salary reduction. Good Idea? Bad Idea? And why….
Given enough wealth to not need another dollar would you continue working for nothing?
Dedicated to increasing your sales,