- Marc Lore is the president and CEO of Walmart eCommerce in the US. He sold his startup, Jet.com, to Walmart for ~ $3 billion in 2016.
- At Jet, Lore made his salary — and everyone else’s — public in order to foster “radical transparency.”
- While more companies are implementing pay transparency, it may not be the right move for every organization.
In the early days of Jet — the e-commerce startup that was bought by Walmart in 2016 for $3 billion — everyone knew each other’s salaries.
That included the salary of the company’s CEO, Marc Lore, who is now the president and CEO of Walmart eCommerce in the US.
On an episode of Business Insider’s podcast, “Success! How I Did It,” Lore told US editor-in-chief Alyson Shontell that the decision to disclose pay data reflected one of the company’s core values: transparency.
“I thought that was really important that there wasn’t any sort of weird unconscious bias happening, that everybody at the same level got the same amount,” Lore told Shontell, specifically mentioning the gender pay gap. What’s more, Lore said that pay transparency effectively eliminated salary negotiations during the hiring process. Here’s Lore:
“When we hired somebody from the outside, we would basically size that person up and everyone would interview them and say, ‘Yep, director.’
“And then we’d go back and say, ‘OK, everyone thinks you’re a director, go on LinkedIn, check out the other directors, we really feel like you’ll feel like you’re a director. Here’s what you make.’ And people would say afterward, like, ‘I just really appreciated not having to negotiate, knowing that it was fair.'”