While most companies spend a lot of their time hiding how much everyone earns, a US start-up thinks there is mileage in keeping everything open.
In a post on Buffer’s Open blog, CEO Joel Gascoigne told the world+dog his salary along with the salary of every single employee in the company, He also published the formula the company uses to get to each one.
In the bog, he said that one of the highest values the company had was transparency which apparently breeds trust, and that is one of the key reasons for the company to place such a high importance on it.
Gascoigne has a salary of $158,800 based on a formula of Salary = job type X seniority X experience + location + $10K if salary choice.
So his $75,000 starting base salary is for an executive officer level job which gets a boost for seniority, experience, and location . That works out to the following: $158,800 (75k Executive Officer base + 20%, + 12k/$m revenue, 1.2X, +22,000).
The bog also lists other openness which would give some companies pause to think. One of our favourites is a rule that email must be sent to the whole team. It is not clear what your colleagues would make of messages such as “I am picking the kids up from school” but we are sure it would mean that emails that are salacious would never be sent.