Pay Your Employees to Quit

Zappos is a company that seems to defy the conventional business status quo on every level. They have dominated a market that conventional retailers have said could never work outside of a brick and mortar location – to the tune of $1 billion in sales expected for 2008.

Zappos is in the business of selling shoes online.

They have revolutionized the way both brick and mortar and online retailers do business. Offering 4 million pairs of shoes, free shipping on deliveries and returns, and exceptional customer service.

It seems in a world of impenatratable corporate customer service labryinths, Zappos’ unscripted and enthusiastic call centre staff are something of legends.

But perhaps the most peculiar aspect of their way of business is the way they manage their staff. After employees have been passed the training period they are presented ‘The Offer’. They are paid for the hours they have worked and offered and additional $1000 dollars if they quit. Supposedly only 10% of employees take the offer, the other 90% become an ethusiastic part of the Zappos team that enjoy going to work and become advocates of their corporate culture.

Now only if they would offer that free shipping to Canada as well.

Check out Bill Taylor’s article over at Harvard Business

As well take a look at Zappos CEO Tony Hsieh’s twitter feed, its one of my favourites