Dan Schulman, Golden Rule Leader
The Golden Rule designation aims to help people better visualize what stakeholder capitalism looks like from the standpoint of organizations and those of leaders or advocates. It does not mean that the leader is perfect. It means he or she has demonstrated a commitment to these principles over the course of their careers.Facing a Major Challenge
Why Dan Schulman Is a Golden Rule Leader
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The Enterprise Engagement Alliance has selected Dan Schulman as a Golden Rule leader at a pivotal time that will test the principles of stakeholder capitalism in action. After a year as Chairman of JUST Capital, the New York-based not-for-profit promoter of stakeholder capitalism principles founded by hedge fund owner Paul Tudor Jones II in 2014, Schulman returns to the corporate fray as CEO of Verizon Communications Inc., New York.
If true to his stakeholder capitalism principles, Schulman likely will say little about them as he gets to know the organization and formulate his strategy. Stakeholder capitalism simply represents a better business strategy based on harmonizing the interests of all stakeholders toward a common purpose, not a virtue to be signaled in press releases.
Click here for a list of all Golden Rule leaders and companies.
Facing a Major Challenge
He takes over Verizon at a tough time. The company’s stock has fallen by about 30% over the last five years—a period during which the S&P 500 almost doubled. On the other hand, the company has reasonably positive Glassdoor employee ratings (3.8), with 71% willing to recommend Verizon to a friend and 59% approving of the outgoing CEO Hans Vestberg. Although a preliminary assessment indicates that Verizon would not earn a Golden Rule designation, it is still an excellent company in most stakeholder areas compared to the average.
Schulman began his career with AT&T Inc., rising to hold senior executive roles over 18 years. After that, he served as President and Chief Operating Officer (then CEO) at Priceline.com, where he led impressive annual revenue growth in just two years. He was the founding CEO of Virgin Mobile USA (launched 2002), helping to propel it to millions of customers and a successful sale to Sprint Nextel Corp. As Group President at American Express Co. he led global mobile and online payment initiatives, expanding non-card/travel revenue streams. During his nine-year stint as CEO of PayPal Holdings, revenue reportedly grew from $8 billion to $30 billion, with a five-times increase in earnings per share, and a large increase in the user base and global footprint.
Click here for a list of all Golden Rule honorees.
Why Dan Schulman Is a Golden Rule Leader
At the heart of the Golden Rule Leader Award is a basic principle. It honors business leaders who focus on delivering superior returns for investors only by delivering value for all stakeholders — employees, customers, supply-chain and distribution partners, and the communities in which they operate. It’s not about perfection. As Theodore Roosevelt famously said about life in the "arena," painful tradeoffs are inevitable. This recognized is about sustained, consistent effort, meaningful action and measurable outcomes across the stakeholder spectrum. With that lens, Dan Schulman stands out.
From his tenure as President and CEO of PayPal Holdings (2015-2023) and his broader career, Schulman has repeatedly demonstrated that “stakeholder capitalism” isn’t a slogan—it is a business model and a moral commitment. He has argued that “capitalism needs an upgrade,” and that companies that treat employees, customers, and communities well will in fact outperform for shareholders.
Employees first: financial wellness as business strategy. One of the most compelling stories of Schulman’s leadership at PayPal is how he tackled the financial health of his own workforce. A TIME magazine article reported that when Schulman and his team surveyed entry-level and hourly employees, they discovered that about two-thirds were running short of cash between paychecks—despite working for one of the most valuable tech companies in the world. The result? PayPal built a four-part financial-wellness initiative: raising wages where needed, awarding stock to every employee (regardless of level), reducing healthcare cost burdens, and providing personal financial education.
Schulman explained that if employees feel secure, respected and able to live with dignity, they will serve customers better, remain longer and help drive superior business performance. Indeed, Forbes noted PayPal’s improved employee engagement, customer loyalty, and investor returns under his leadership.
Customers and underserved communities: democratizing finance. Schulman’s stakeholder lens didn’t stop with employees. He embraced a mission of financial inclusion: “Our mission as a company is to try and democratize the management and movement of money,” he said. By focusing on underserved consumers and small merchants—those traditionally left out of the system—Schulman positioned PayPal not just as a payments platform, but as a platform for participation in the modern economy. PayPal won attention for withdrawing a planned expansion in North Carolina after the state passed what it felt was discriminatory legislation. That decision underscored that values and stakeholder commitments mattered—not merely short-term profits.
Supply-chain/distribution partners and broader ecosystem. Through strategic partnerships, platform-innovation for merchants of all sizes, and initiatives such as making financial wellness tools available to partners in the industry, Schulman helped shape a stakeholder ecosystem rather than simply a one-dimensional business. For example, PayPal’s partnership with JUST Capital to broaden “financial wellness” across companies is one such expression of ecosystem-thinking.
Communities and long-term commitment. Schulman repeatedly emphasized that companies don’t exist in a bubble: “We are part of our overall community… the stronger all of these things are, the stronger our company will be over the medium and long term.” Under his leadership PayPal committed hundreds of millions of dollars to close racial-wealth gaps, invest in women and girls and improve financial inclusion globally.
Investor returns: proof that stakeholder capitalism works. Importantly, the Golden Rule criterion requires that stakeholder value creation is not separate from shareholder returns but aligned with them. Schulman’s record at PayPal shows this alignment. Under his leadership, PayPal tripled in size, grew revenues and earnings substantially, and achieved high ranking in stakeholder-capitalism indices. He repeatedly underscored that putting employees first leads to better customer service, which in turn leads to stronger business performance and returns. His belief—and actions—are that doing right by stakeholders and doing right by shareholders are not contradictory but mutually reinforcing.
Enterprise Engagement Alliance Services
Celebrating our 15th year, the Enterprise Engagement Alliance helps organizations enhance performance through:1. Information and marketing opportunities on stakeholder management and total rewards:
- ESM Weekly on stakeholder management since 2009. Click here to subscribe; click here for media kit.
- RRN Weekly on total rewards since 1996. Click here to subscribe; click here for media kit.
- EEA YouTube channel on enterprise engagement, human capital, and total rewards since 2020
Management Academy to enhance future equity value for your organization.3. Books on implementation: Enterprise Engagement for CEOs and Enterprise Engagement: The Roadmap.
4. Advisory services and research: Strategic guidance, learning and certification on stakeholder management, measurement, metrics, and corporate sustainability reporting.
5. Permission-based targeted business development to identify and build relationships with the people most likely to buy.
Contact: Bruce Bolger at TheICEE.org; 914-591-7600, ext. 230.
