The First Salaried Workforce
Thomas Watson Sr. always believed in making his workers feel dignified.
In 1934, he bucked a trend toward paying factory workers in piecework, instead paying by the hour.
Continuing the tradition, in 1958 IBM became the first industrial organization to place all regular, hourly-rated domestic employees on a salary basis.
This change in pay practice made all domestic employees part of same basic compensation plan, providing its workforce with economic stability and equality.