Category: Investing In Employees

It’s time to rethink wages

Posted by MIT Sloan Executive Education - 4 months and 23 days ago

For the last year or so, there’s been a significant amount of news coverage around the wages paid to low-income earners, such as those working at fast food outlets and in retail stores. There have been public protests, calls for boycotts, and legislation to raise the minimum wage in some states.

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The role of employee satisfaction in successful airline mergers

Posted by MIT Sloan Executive Education - 11 months and 6 days ago

In early November, the Justice Department settled its suit blocking the merger of American Airlines and US Airways and, this month, the merger was completed. The original suit claimed “airline consolidation had gone too far and the proposed merger would lead to higher fares for consumers.” In the end, having the two airlines concede to surrendering some take off and landing spots at certain airports would “foster competition and lead to low prices.” So the merger continues.

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Happier employees sell more fries

Posted by MIT Sloan Executive Education - 1 year and 2 months and 21 days ago

The signs held by recent striking fast food employees say, “We are worth more.” They are, in fact, right. Retail employees are worth more, and paying them more can result in higher profits. Those retailers who doubt this should take a close look at Costco, Trader Joe’s, and QuikTrip Corporation (a convenience store chain). Those firms, according to Zeynep Ton, Adjunct Associate Professor of Operations Management at MIT’s Sloan School of Management, pay their employees well—and it shows in the firms’ profits. 

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