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Ray Dalio: My Employees Love That We Record Their Every Word

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Anyone who claims otherwise just hasn't biologically adapted yet.

Bridgewater Associates, the hedge fund giant founded by Ray Dalio, has always stood out on Wall Street for its adherence to a culture of “radical transparency.” That means more than just being honest with colleagues. It also involves tape-recording employees’ conversations and playing them back for the employees to review. While disconcerting to some, this practice has both cultural and legal benefits, Mr. Dalio said at the DealBook conference in Manhattan on Thursday. “You can’t talk behind anybody’s back,” Mr. Dalio said. “You know that there’s real honesty.” He said employees were not hurt by any negative comments they might hear in this process — or, if they were, that was merely their “fight or flight” response kicking in.

Take Barbara, for instance. She didn't mind when we played back the tape of Cynthia saying her sneakers and dress suit makes her look like an 80s businesswoman commuting from the train to the office. In fact, she welcomed the criticism. She said, "Cynthia, thanks for bringing that to my attention." Whereas Tom, who's new here, initially took it personally when Rick commented that he looks like a fetus.

Bridgewater’s Ray Dalio Says Taping Employees Has Legal Benefits [Dealbook]
RAY DALIO: It's 'Fantastic' When We Play Conversations We've Recorded Back To Our Employees [BI]

Related: Ray Dalio Not Sure Why Recording People Talking About A Colleague’s Mistakes And Weaknesses And Then Playing Back The Tape For Said Colleague Would Be Viewed As Anything Other Than Positive;It Only Takes A Year And A Half To Get Adjusted To Bridgewater Corporate Culture: Ray Dalio