Why did ford raise his workers wages?

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2026-04-09 12:45

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Henry Ford raised his workers' wages in 1914 to $5 a day to reduce high employee turnover and improve productivity. By paying his workers more, he aimed to attract and retain skilled labor, which ultimately led to increased efficiency on the assembly line. Additionally, this move enabled workers to afford the cars they were producing, thereby expanding the market for his products and contributing to the growth of the middle class. This innovative approach helped set a new standard for labor practices in the industry.

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