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This company is setting its minimum wage at $70,000

Credit card processor Gravity Payments is making its minimum wage $70,000 a year, the New York Times reports. Founder Dan Price recently announced the ambitious plan to a room of about 120 staffers.

The raises will take place over the next three years, with about 70 Gravity employees set to see fatter paychecks because of the new policy. Price himself is taking a pay cut from about $1 million to $70,000 to help make it happen. The reason: He read an article that more money for people who make less than $70,000 leads to increased happiness.

The happiness research comes from Angus Deaton and Daniel Kahneman, who won a Nobel Prize for his psychology research in the past. From the Times: