The CEO of Southwest Airlines Explains Why Paying Competitive Wages Keeps Efficiency High

Gary Kelly underscores how good compensation does not have to come at the expense of good operations.

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By Business Rockstars

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In this video, Entrepreneur Network partner Business Rockstars sits down to talk with Gary Kelly, the CEO of Southwest Airlines.

Kelly is able to keep his costs low by pursuing a few key strategies -- that includes not paying his employees extremely low wages but by carrying out business efficiently. The company is able to increase efficiencies by operating a single plane model, the Boeing 737. The company also prides itself on not delineating customers into multiple tiers; as Kelly puts it, there is "no second class."

To hear more from Gary Kelly, click the video.

Related: Why Work Ethic Is the Ultimate Equalizer in Business

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Business Rockstars

Business Rockstars is the first integrated, multi-platform media company featuring entrepreneurs, startups and CEOs. With award-winning content creators and influencers, we are connecting and growing a community of entrepreneurs via radio, TV, podcast and social media. Business Rockstars shows are produced from our Burbank studios, with remote video broadcast facilities in San Francisco through our strategic partner, NASDAQ Private Market. Business Rockstars airs nationally in 150 radio markets, podcasting on Play.it, digitally on iTunes, Tune In, Stitcher and iHeart Radio. Business Rockstars video is featured in 40 million households with HDTV and cable through BizTV. 

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