The Refrigerator Effect: Rich Corporations / Poor Employees
When I worked for a very large and profitable corporation, I noticed a disturbing phenomenon. This corporation made billions of dollars per year and paid a somewhat fair compensation package to their employees.
Payday was every other week, I noticed that the week before payday the company refrigerator would be filled to the brim with lunches brought to work by the employees. However, the week after payday the refrigerator would be empty; since the paid employees would instead purchase their lunch.
I called this the refrigerator effect, it made me wonder what would happen to the employees if the company missed a pay day. It seemed impossible, since this was a very successful corporation and yet the employees didn’t seem to be financially well off, with the exception of the CEO and Senior Executives and rest of us who always saved and invested our pay day money.
I noticed that my fellow employees were anxious and desperate for their bi-weekly pay and yearly bonus. It felt like this was corporate trickery; where the employees were paid just enough to stay but not enough to be financially well off. The irony was that this was a financial institution. I believe that this contributed to their toxic corporate culture; where the employees behaved with very little integrity.
This was one of the many reasons why I started my own company. I wanted control over the type and quality of the work, clients and people that I chose to work with.
Plus, making a difference in my employees lives so that they do not become victims to the refrigerator effect. I love being the Founder & CEO of my company; Blueprint Design, where we develop and deliver learning solutions for classrooms and mobile devices.