• Venkatesh Rao, in The Gervais Principle proposed that organizations typically tend to self-stratify into three predictable layers of social classes.
  • At the bottom are economic losers, with low output against the effort. Others realize the output of their effort.
  • At the top are corporate elites, intelligent and hungry for power. E.g., David Wallace or Jan.
  • In the middle are clueless, typical middle managers: e.g., Michale or Dwight or Andy.
    • Fascinating construct: Their employees have real jobs and their bosses, but they don’t.
    • For example, take how Michael spends his day- arbitrarily.
    • The terminal layers are rational, whereas the middle layer is completely clueless. And their interactions are also very different.

Conversations between these groups

  • Venkatesh Rao also proposed various kinds of talks that these groups have.
  • Posturetalk: Anything spoken by clueless’, the typical language of living inside a construct. They are always intended to either impress or mislead.
  • Babytalk: Spoken by elites to clueless. Almost always soothing or misdirecting.
  • Powertalk: Internal communications of elites. It is targeted towards information and power gathering.
  • Gametalk: Internal communications of losers. Typical hi-hello convos. To get through the day.
  • Straight talk: Spoken by elites and losers. Very rare. Direct speech without any encoding.

Three ladders of progress

  • Michael Church came up with a 3-ladder system of social class) that shows how these groups progress through their lives.
  • Labour ladder starts with tough hourly-paid jobs and goes up to labor leadership.
    • Rising up = More money + More power. It is more about money.
    • They are accomplished via working harder.
    • Labour leadership is not deficient in money but in leverage and therefore is still a loser.
  • Elite ladder starts with reasonably paid jobs.
    • Rising up = More money + More power. It is more about power
    • Accomplished via acquiring leverage.
  • Middle ladder starts with transitional jobs between the two.
    • This ladder isn’t about money or power.
    • They are accomplished via more education and, eventually, costly habits.
    • The farther you go up the ladder, the more disconnected you get from reality.
  • Labour and elites see the world as it is, but the gentry is unique in its ways.

Closing remarks/opinions

  • Humanity seems to have a strong propensity towards binary and tri-partite classifications.
  • There are several classifications that are tri-partite.
    • Even Plato divided his society in The Republic into three- producers/workers; auxiliaries/soldiers; and guardians/protectors.
    • Our modern history is filled with binaries of us vs them.

Inspirations