Final answer:
Henry Ford offered a daily wage of five dollars to his employees to reduce turnover in his factories, doubled compared to standard wages, and standardized an eight-hour workday.
Step-by-step explanation:
To reduce turnover in his factories, Henry Ford began offering his employees a daily wage of five dollars, which was significantly higher than the average factory wage at the time. This policy was implemented alongside standardizing the workday to eight hours. Ford's innovative approach not only helped stabilize his workforce by reducing turnover but also allowed his workers the financial capability to purchase the automobiles they produced.
Despite Ford's paternalistic policies, which included monitoring workers' personal behaviors and staunch opposition to unionization, the increase in wages provided workers with unprecedented buying power and contributed to the automotive boom of the early 20th century. This business strategy by Ford underpinned the development of a consumer-based economy and the growth of the middle class.